After navigating through various ownership changes over the past few years, the VeloCloud SD-WAN platform has found a new home at Arista Networks, which has acquired it from Broadcom for an undisclosed amount, rumored to be around $1 billion. This transition follows Broadcom’s acquisition of VMware, which initially purchased VeloCloud back in 2017. As VeloCloud becomes part of Arista, it promises greater stability and continuity for its users.
Arista Networks is primarily recognized for its data center and campus networking solutions, particularly its 7000 Series datacenter switches and enterprise Wi-Fi, unified under its Extensible Operating System (EOS). VeloCloud complements this portfolio by adding SD-WAN capabilities, enhancing Arista’s offerings for organizations that are increasingly distributed across various locations.
The new synergy is highlighted by Arista Networks’ press release, which emphasizes that this acquisition will provide expanded options for global WAN services, allowing better interconnection of data centers and campus offices, while complementing Arista’s existing routing solutions.
A significant focus of the acquisition is how it aligns with current shifts in network traffic, especially due to the increasing role of AI. Arista’s CEO, Jayshree Ullal, noted that the definition of users and sites within a WAN has fundamentally shifted in the AI era. She explained that new AI agents would access data independently, adapting over time to enhance productivity. This evolution necessitates modernizing WANs to efficiently handle the changes in data flow brought about by AI integration.
Sanjay Uppal, now the VP and general manager of VeloCloud at Arista, elaborated on the importance of optimizing and securing WAN traffic driven by agentic AI across various endpoints. He underscored the need for comprehensive networking solutions that integrate everything from local area networks to data centers.
VeloCloud’s own technology, which includes VeloBrain and VeloRAIN systems, leverages AI to monitor and optimize network traffic, ultimately minimizing latency and improving performance. This capability aims to autonomously manage the transformation in network traffic patterns that AI is causing.
Industry experts express optimism about the acquisition. Herb Hogue from integrator Myriad360 remarked that Arista’s purchase would benefit customers by offering a complete suite of networking solutions and providing much-needed clarity regarding the future of VeloCloud’s platform post-Broadcom.
As part of the transition, Arista is set to ensure a seamless support migration for existing VeloCloud customers, currently facilitated through its service status page.
