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[Traditional WAN vs. SD-WAN: What Are the Differences?](https://www.paloaltonetworks.com/cyberpedia/traditional-wan-vs-sd-wan?ts=markdown) Table of Contents * [How did traditional WAN evolve into SD-WAN?](#how) * [What is a WAN?](#wan) * [What is SD-WAN?](#sd-wan) * [What are the differences between SD-WAN and WAN?](#sdwan-and-wan) * [What are the similarities between SD-WAN and WAN?](#similarities) * [What makes SD-WAN a better choice over WAN?](#choice) * [When is traditional WAN the right choice?](#traditional-wan) * [How to choose between WAN and SD-WAN](#how-to-choose) * [Traditional WAN vs. SD-WAN FAQs](#faqs) # Traditional WAN vs. SD-WAN: What Are the Differences? 6 min. read Table of Contents * [How did traditional WAN evolve into SD-WAN?](#how) * [What is a WAN?](#wan) * [What is SD-WAN?](#sd-wan) * [What are the differences between SD-WAN and WAN?](#sdwan-and-wan) * [What are the similarities between SD-WAN and WAN?](#similarities) * [What makes SD-WAN a better choice over WAN?](#choice) * [When is traditional WAN the right choice?](#traditional-wan) * [How to choose between WAN and SD-WAN](#how-to-choose) * [Traditional WAN vs. SD-WAN FAQs](#faqs) 1. How did traditional WAN evolve into SD-WAN? * [1. How did traditional WAN evolve into SD-WAN?](#how) * [2. What is a WAN?](#wan) * [3. What is SD-WAN?](#sd-wan) * [4. What are the differences between SD-WAN and WAN?](#sdwan-and-wan) * [5. What are the similarities between SD-WAN and WAN?](#similarities) * [6. What makes SD-WAN a better choice over WAN?](#choice) * [7. When is traditional WAN the right choice?](#traditional-wan) * [8. How to choose between WAN and SD-WAN](#how-to-choose) * [9. Traditional WAN vs. SD-WAN FAQs](#faqs) ![What Is the Difference Between WAN and SD-WAN?](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/video-thumbnail-what-is-the-difference-between-wan-and-sd-wan.png) close The difference between WAN and SD-WAN is that WAN is a traditional network which uses hardware-based routers and manual configuration, while SD-WAN is a software-defined solution that provides centralized control and dynamic traffic management over various connection types. SD-WAN provides enhanced performance, scalability, cost efficiency, and security. Traditional WANs, while reliable, can be more expensive and less flexible compared to SD-WAN. ## How did traditional WAN evolve into SD-WAN? ![The diagram shows the evolution of SD-WAN from the 1980s to 2023. In the 1980s, packet-switched networks emerged. In the 1990s, frame relay and ATM were introduced. In the 2000s, MPLS became popular and WAN optimization solutions became available. In 2010, SD-WAN first appeared. In 2011, virtual WAN optimization technologies emerged. In 2012, SD-WAN 0.1 added features to overcome IPsec limitations. In 2015, SD-WAN enabled broadband and hybrid WANs. In 2017, market adoption and growth of SD-WAN 1.5 occurred. In 2019, SD-WAN 2.0 emerged with open architecture and open-source solutions. In 2023, SD-WAN integrated AI and ML, and SASE frameworks combined SD-WAN with security functions.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/evolution-of-sd-wan.png "The diagram shows the evolution of SD-WAN from the 1980s to 2023. In the 1980s, packet-switched networks emerged. In the 1990s, frame relay and ATM were introduced. In the 2000s, MPLS became popular and WAN optimization solutions became available. In 2010, SD-WAN first appeared. In 2011, virtual WAN optimization technologies emerged. In 2012, SD-WAN 0.1 added features to overcome IPsec limitations. In 2015, SD-WAN enabled broadband and hybrid WANs. In 2017, market adoption and growth of SD-WAN 1.5 occurred. In 2019, SD-WAN 2.0 emerged with open architecture and open-source solutions. In 2023, SD-WAN integrated AI and ML, and SASE frameworks combined SD-WAN with security functions.") To understand the general technological differences between traditional WAN and SD-WAN, it's helpful to first start with how they came to be. The traditional WAN (wide area network) has long been the backbone of enterprise networking. Traditional WANs connect multiple local area networks (LANs) across large geographical areas. Initially, WANs relied heavily on leased lines---like point-to-point and frame relay services---which provided dedicated, but expensive, connections between sites. In the 1980s and 1990s, [MPLS (multiprotocol label switching)](https://www.paloaltonetworks.com/cyberpedia/mpls-what-is-multiprotocol-label-switching?ts=markdown) emerged. MPLS offered a more efficient way to manage and route traffic over vast networks. It became the standard for WANs, known for reliability and [quality of service (QoS)](https://www.paloaltonetworks.com/cyberpedia/what-is-quality-of-service-qos?ts=markdown). ![The diagram titled "MPLS architecture" illustrates the control plane and forwarding plane of an MPLS system. The control plane includes IP routing protocols and Label Distribution Protocol (LDP) for routing information and label binding exchanges. The forwarding plane consists of the IP routing table or CEF FIB and the Label Forwarding Information Base, handling incoming IP packets and labeled packets to produce outgoing IP packets and labeled packets.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/mpls-architecture.png "The diagram titled \"MPLS architecture\" illustrates the control plane and forwarding plane of an MPLS system. The control plane includes IP routing protocols and Label Distribution Protocol (LDP) for routing information and label binding exchanges. The forwarding plane consists of the IP routing table or CEF FIB and the Label Forwarding Information Base, handling incoming IP packets and labeled packets to produce outgoing IP packets and labeled packets.") However, as cloud computing and SaaS applications grew in popularity, traditional WAN architectures began to show their limitations. The need for backhauling traffic to data centers led to inefficiencies and increased costs. The rise of cloud-based services in the 2000s further highlighted these inefficiencies. Companies needed a more flexible, cost-effective solution to handle the increased demand for bandwidth and the shift towards decentralized applications. This is where [SD-WAN (software-defined wide area network)](https://www.paloaltonetworks.com/cyberpedia/what-is-sd-wan?ts=markdown) comes into play. SD-WAN uses software-defined networking (SDN) principles to create a virtualized overlay network. Unlike traditional WANs that depend on physical routers and manual configurations, SD-WAN uses a centralized control plane. The control plane manages network traffic dynamically, optimizing the use of available connections---such as broadband, LTE, and MPLS---based on real-time conditions. ![Diagram titled "SD-WAN connects to multiple transport services" illustrating a central data center connected to various branch offices. The data center, depicted as a blue box with server icons, is centrally located and linked to branch offices through different colored lines representing MPLS (blue), 4G/5G LTE (purple), and broadband (yellow). Each branch office is depicted as a building icon, connected to the data center via these transport services. The internet is represented as a network icon above the data center, indicating its role in connecting the entire setup.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/sd-wan-multiple-transport-services.png "Diagram titled \"SD-WAN connects to multiple transport services\" illustrating a central data center connected to various branch offices. The data center, depicted as a blue box with server icons, is centrally located and linked to branch offices through different colored lines representing MPLS (blue), 4G/5G LTE (purple), and broadband (yellow). Each branch office is depicted as a building icon, connected to the data center via these transport services. The internet is represented as a network icon above the data center, indicating its role in connecting the entire setup.") One of the key drivers for the adoption of SD-WAN solutions is cost-efficiency. By using cheaper internet connections and reducing reliance on costly MPLS circuits, SD-WAN offers a major reduction in operational expenses. Plus, the ability to centrally manage and configure the network through software simplifies the overall network management process and reduces the need for on-site IT support. Not to mention, SD-WAN is flexible and easier to scale. Adding new sites or adjusting to changing business requirements is a lot easier and faster compared to a traditional WAN. The centralized management and automated traffic routing allow businesses to respond quickly to new demands without extensive reconfiguration. ***Further reading:** [What Is the Difference Between SD-WAN and MPLS?](https://www.paloaltonetworks.com/cyberpedia/sd-wan-vs-mpls?ts=markdown)* [![prisma sdwan potential roi](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/potential-roi.png)](https://tei.forrester.com/go/paloalto/prismasase/index.html?lang=en-us) ## What is a WAN? ![Traditional WAN architecture diagram outlining the connections between a headquarters and a branch office. Both locations are represented by gray building icons labeled "HQ (Data center or cloud)" and "Branch office," positioned at the left and right sides of the diagram, respectively. Between the buildings, three lines depict different connectivity types: a blue line for DSL, a red line for Fiber, and a yellow line for LTE. At the ends of each line, near the buildings, are blue rectangles representing traditional WAN routers, each adorned with network symbols.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/traditional-wan-architecture.png "Traditional WAN architecture diagram outlining the connections between a headquarters and a branch office. Both locations are represented by gray building icons labeled \"HQ (Data center or cloud)\" and \"Branch office,\" positioned at the left and right sides of the diagram, respectively. Between the buildings, three lines depict different connectivity types: a blue line for DSL, a red line for Fiber, and a yellow line for LTE. At the ends of each line, near the buildings, are blue rectangles representing traditional WAN routers, each adorned with network symbols.") A wide area network (WAN) is a type of telecommunications network that extends over a large geographical area, connecting multiple smaller networks such as local area networks (LANs) or metropolitan area networks (MANs). WANs enable devices in different locations to communicate and share information. WANs act as the critical infrastructure that interlinks various branches of an organization, which allows them to work as a unified entity. So employees can access central resources, share data securely, and collaborate effectively---regardless of location. WAN technologies use a variety of transmission media and technologies to establish connections, including: traditional telephone lines, fiber optic cables, satellite links, and even wireless connections. The choice of technology generally depends on the specific needs and infrastructure of the organization. Benefits of WANs include: * Large geographical area coverage * Higher bandwidth than LANs (local area network) and MANs (metropolitan area network) * Centralized data * Real-time file updates * Messaging efficiency The internet is the most well-known example of a WAN. It's effectively a global network that connects millions of smaller networks, enabling communication and data exchange on an unprecedented scale. ![Basic internet architecture diagram depicting the internet. On the left, there are two users: User A, connected via a computer, and User B, connected via a laptop. User B connects through an access point to a wireless IP gateway. Both users are linked to the access layer, which connects to the edge layer. The edge layer contains a series of network nodes that link to the core layer. The core layer is composed of interconnected network nodes, forming a mesh-like structure. The core layer connects to the internet services on the right, which include an IP gateway and IP phone. The IP gateway and IP phone are part of the internet services layer, illustrating the final connection point to various internet services.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/internet-architecture.png "Basic internet architecture diagram depicting the internet. On the left, there are two users: User A, connected via a computer, and User B, connected via a laptop. User B connects through an access point to a wireless IP gateway. Both users are linked to the access layer, which connects to the edge layer. The edge layer contains a series of network nodes that link to the core layer. The core layer is composed of interconnected network nodes, forming a mesh-like structure. The core layer connects to the internet services on the right, which include an IP gateway and IP phone. The IP gateway and IP phone are part of the internet services layer, illustrating the final connection point to various internet services.") Just like the internet, enterprise WANs support large-scale communication and data transfer across vast distances. The main use cases for WANs are: * Branch connectivity * Remote access * Data center interconnectivity * Centralized management * IoT connectivity ## What is SD-WAN? ![SD-WAN architecture diagram, featuring a central data center connected to four branch locations, represented as gray building icons. These connections are color-coded to indicate different types of internet connections: MPLS in red, cellular connections in green, and broadband in orange. Surrounding the central network diagram are logos of various internet and cloud services, such as AWS, Azure, Google, Dropbox, Salesforce, Workday, and YouTube, implying their integration or accessibility through this network architecture.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/sd-wan-architecture.png "SD-WAN architecture diagram, featuring a central data center connected to four branch locations, represented as gray building icons. These connections are color-coded to indicate different types of internet connections: MPLS in red, cellular connections in green, and broadband in orange. Surrounding the central network diagram are logos of various internet and cloud services, such as AWS, Azure, Google, Dropbox, Salesforce, Workday, and YouTube, implying their integration or accessibility through this network architecture.") Software-defined wide area network (SD-WAN) is a modern networking technology that uses software-defined networking (SDN) principles to manage and optimize wide area networks (WANs). It allows organizations to securely connect users, applications, and data across multiple locations. And delivers enhanced performance, reliability, and scalability. Essentially, SD-WAN simplifies WAN management by providing centralized control and visibility over the entire network. So, how does SD-WAN work? SD-WAN is a virtualized service that connects and extends enterprise networks. It uses various types of connections, including: multiprotocol label switching (MPLS), wireless, broadband, [virtual private networks (VPNs)](https://www.paloaltonetworks.com/cyberpedia/what-is-a-vpn?ts=markdown), and the internet. This allows users in branch and remote offices to access corporate applications, services, and resources. Which makes working from anywhere easy. SD-WAN continuously monitors the performance of WAN connections. It also manages traffic to maintain high speeds and optimal connectivity. Traditional WANs rely on legacy routers to connect remote users to applications hosted in data centers. The process usually involves manually writing rules and policies. Which can be time-consuming and prone to errors. On the other hand: SD-WAN solutions address these challenges by using software instead of hardware. And that allows for real-time adjustments to traffic and conditions. Like this: ![The diagram illustrates centralized management in SD-WAN. It shows an SD-WAN controller at the center, managing data flows between the MPLS network, the internet, and cloud services. On the left, a branch office connects to the SD-WAN controller through traditional WAN routers. The middle section displays various types of connectivity, including fiber, dedicated internet access, MPLS, and 4G, all managed by the SD-WAN controller. On the right, the HQ/DC/DR is also connected via traditional WAN routers. Control plane data paths are indicated by yellow dashed lines, while data plane paths are shown as solid red lines.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/dynamic-path-selection.png "The diagram illustrates centralized management in SD-WAN. It shows an SD-WAN controller at the center, managing data flows between the MPLS network, the internet, and cloud services. On the left, a branch office connects to the SD-WAN controller through traditional WAN routers. The middle section displays various types of connectivity, including fiber, dedicated internet access, MPLS, and 4G, all managed by the SD-WAN controller. On the right, the HQ/DC/DR is also connected via traditional WAN routers. Control plane data paths are indicated by yellow dashed lines, while data plane paths are shown as solid red lines.") The adaptability provides much better security and reliability compared to traditional WANs. [SD-WAN architecture](https://www.paloaltonetworks.com/cyberpedia/sd-wan-architecture?ts=markdown) uses a centralized control plane to route traffic. Administrators can write rules and policies and deploy them across the entire network simultaneously. By detaching control from the hardware, SD-WAN simplifies network management and enhances service delivery. SD-WAN appliances follow operational regulations from a central SD-WAN controller, significantly reducing the need for individual gateway and router management. ![The diagram illustrates centralized management in SD-WAN. It shows an SD-WAN controller at the center, managing data flows between the MPLS network, the internet, and cloud services. On the left, a branch office connects to the SD-WAN controller through traditional WAN routers. The middle section displays various types of connectivity, including fiber, dedicated internet access, MPLS, and 4G, all managed by the SD-WAN controller. On the right, the HQ/DC/DR is also connected via traditional WAN routers. Control plane data paths are indicated by yellow dashed lines, while data plane paths are shown as solid red lines.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/sd-wan-centralized-management.png "The diagram illustrates centralized management in SD-WAN. It shows an SD-WAN controller at the center, managing data flows between the MPLS network, the internet, and cloud services. On the left, a branch office connects to the SD-WAN controller through traditional WAN routers. The middle section displays various types of connectivity, including fiber, dedicated internet access, MPLS, and 4G, all managed by the SD-WAN controller. On the right, the HQ/DC/DR is also connected via traditional WAN routers. Control plane data paths are indicated by yellow dashed lines, while data plane paths are shown as solid red lines.") It also addresses specific connectivity issues like network congestion and packet loss. The overall [benefits of SD-WAN](https://www.paloaltonetworks.com/cyberpedia/benefits-of-sd-wan?ts=markdown) include: * Operational simplicity * Carrier-independent WAN connectivity and improved ROI * Improved security * Enhanced performance * Improved connectivity and direct cloud access * Foundation to [SASE](https://www.paloaltonetworks.com/cyberpedia/what-is-sase?ts=markdown) strategy SD-WAN gateways support hybrid WAN. Meaning each branch appliance can support multiple connections via various transport methods. For security, a VPN is typically installed across each WAN connection. The flexibility in connection types increases network bandwidth, performance, and redundancy, which is what makes centralized management and administration possible. Use cases for SD-WAN include: * Branch connectivity * Enhanced security * Centralized management and visibility * IoT security, connectivity, and performance * Application control and quality of service * Cloud connectivity and strategy ## What are the differences between SD-WAN and WAN? ![Traditional WAN vs. SD-WAN comparative diagram. The top half of the diagram, labeled](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/traditional-wan-vs-sd-wan.png "Traditional WAN vs. SD-WAN comparative diagram. The top half of the diagram, labeled ") While traditional WANs have been effective in the past and are still a reliable option for certain use cases, SD-WAN offers major advantages when it comes to network management, traffic optimization, scalability, cost, and security. These differences can make SD-WAN a more flexible, efficient solution for some organizations' networking needs. **SD-WAN vs. WAN: What are the differences?** | Feature | Traditional WAN | SD-WAN | | Network management | Hardware-based routers, manual configuration; time-consuming and prone to errors | Centralized control plane, policies and configurations managed from a single interface; more efficient and less error-prone | | Traffic optimization | Fixed paths, often using leased lines or MPLS circuits; inefficiencies under changing conditions | Dynamic management using software algorithms; real-time traffic rerouting based on network performance | | Scalability | Complex and costly expansion; requires new hardware and extensive configuration | Designed for easy scalability; quick addition of new sites using software-defined controls; integrates multiple connection types (broadband, LTE, MPLS) | | Cost | Expensive due to dedicated circuits and maintenance, especially with MPLS | Reduces costs by leveraging less expensive public internet connections; maintains performance and reliability with a hybrid approach | | Security | Managed through separate security appliances; complex to maintain consistent security policies | Integrated security features; end-to-end encryption and unified security policies across all locations; simplifies security management and enhances protection | |----------------------|--------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------| ### Network management Traditional WAN relies on hardware-based routers and manual configuration. Each router has to be individually programmed, which is time-consuming and prone to errors. In contrast, SD-WAN uses a centralized control plane for network management. Like this: ![Diagram of SD-WAN control plane and data plane, with elements representing network components divided into two sections: Data plane on the left and Control plane on the right. The Data plane section includes labeled icons for "Cloud," "DC" (Data Center), "Campus," and "Branch," each connected to network technologies—represented by "Edge routers," "MPLS," "Internet," and "4G/5G." These network elements are connected by solid and dotted lines, indicating different types of connections. On the right, the Control plane section includes icons for "Smart controllers," which are linked to functionalities labeled "Orchestration," "Analytics," and "Automation." These elements are interconnected through green lines, suggesting a flow of control information.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/control-plane-and-data-plane.png "Diagram of SD-WAN control plane and data plane, with elements representing network components divided into two sections: Data plane on the left and Control plane on the right. The Data plane section includes labeled icons for \"Cloud,\" \"DC\" (Data Center), \"Campus,\" and \"Branch,\" each connected to network technologies—represented by \"Edge routers,\" \"MPLS,\" \"Internet,\" and \"4G/5G.\" These network elements are connected by solid and dotted lines, indicating different types of connections. On the right, the Control plane section includes icons for \"Smart controllers,\" which are linked to functionalities labeled \"Orchestration,\" \"Analytics,\" and \"Automation.\" These elements are interconnected through green lines, suggesting a flow of control information.") As mentioned, this allows administrators to implement policies and configurations across the entire network from one interface. Management is a lot more efficient and less error-prone. ### Traffic optimization WANs typically route traffic through fixed paths, often using leased lines or MPLS circuits. Again, this leads to inefficiencies, especially under changing network conditions. SD-WAN, however, dynamically manages traffic using software algorithms. It can reroute network and application traffic in real time based on current network performance. Here's how the process works: ![The diagram titled "SD-WAN dynamic path selection and traffic steering" shows a branch office connected to various network interfaces. The branch office connects to two virtual interfaces: the VPN virtual interface (IPSec interfaces) depicted in orange and the DIA virtual interface (Ethernet interfaces) depicted in blue. SD-WAN traffic steering includes session load distribution, path quality profile, and traffic distribution profile. Path quality is assessed based on latency, jitter, and packet loss, with a top-down priority for traffic distribution. The VPN interface leads to a private network connecting to headquarters, while the DIA interface connects to the public internet, indicating connections to Internet/SaaS services. Application thresholds are shown at the top left, linking to the branch office through the SD-WAN traffic steering components.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/dynamic-path-selection-traffic-steering.png "The diagram titled \"SD-WAN dynamic path selection and traffic steering\" shows a branch office connected to various network interfaces. The branch office connects to two virtual interfaces: the VPN virtual interface (IPSec interfaces) depicted in orange and the DIA virtual interface (Ethernet interfaces) depicted in blue. SD-WAN traffic steering includes session load distribution, path quality profile, and traffic distribution profile. Path quality is assessed based on latency, jitter, and packet loss, with a top-down priority for traffic distribution. The VPN interface leads to a private network connecting to headquarters, while the DIA interface connects to the public internet, indicating connections to Internet/SaaS services. Application thresholds are shown at the top left, linking to the branch office through the SD-WAN traffic steering components.") And that means organizations can guarantee the best possible use of available bandwidth while maintaining high application performance. ### Scalability Expanding a traditional WAN can be complex and costly. It usually requires new hardware and extensive configuration. SD-WAN, on the other hand, is designed for easy scalability. New sites can be added quickly using software-defined controls. The fact that the network can seamlessly integrate multiple types of connections also contributes to its scalability. Because the flexibility in connection options allows the network to grow and adapt to different requirements without major reconfiguration. ### Cost Traditional WANs---especially those using MPLS---can be expensive due to the cost of dedicated circuits and maintenance. SD-WAN reduces costs by relying on less expensive public internet connections while still maintaining performance and reliability. Its hybrid approach allows organizations to increase bandwidth without significantly raising costs. ![The diagram titled "SD-WAN market pricing factors" lists factors affecting SD-WAN pricing, including increased competition, scalability and flexibility, cloud adoption, security enhancements, innovation and technology advancements, fluctuations in bandwidth pricing, and vendor pricing strategies. Each factor is accompanied by an icon.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/sd-wan-market-pricing-factors.png "The diagram titled \"SD-WAN market pricing factors\" lists factors affecting SD-WAN pricing, including increased competition, scalability and flexibility, cloud adoption, security enhancements, innovation and technology advancements, fluctuations in bandwidth pricing, and vendor pricing strategies. Each factor is accompanied by an icon.") ***Note*** *While it's true that SD-WAN can help organizations save money on network costs, savings aren't always guaranteed. The cost of MPLS networks and diverse broadband options vary by location. Plus, initial investments can be substantial, and network complexity along with ongoing management costs can offset savings.* ### Security Security in traditional WANs is typically managed through separate security appliances, making it complex to maintain consistent security policies across the network. SD-WAN integrates security features directly into the network. It provides end-to-end [encryption](https://www.paloaltonetworks.com/cyberpedia/data-encryption?ts=markdown). Plus, it allows you to implement unified security policies across all locations. The integration makes security management simpler and improves protection overall. Also: SD-WAN is foundational to SASE, a framework that combines networking and security functions in a single cloud-native architecture. SD-WAN provides the secure, high-performance connectivity layer that SASE builds on. SASE brings advanced security capabilities like [secure web gateways (SWG)](https://www.paloaltonetworks.com/cyberpedia/what-is-secure-web-gateway?ts=markdown), [cloud access security brokers (CASB)](https://www.paloaltonetworks.com/cyberpedia/what-is-the-difference-between-a-traditional-casb-and-an-next-generation-casb?ts=markdown), and [zero trust network access (ZTNA)](https://www.paloaltonetworks.com/cyberpedia/what-is-zero-trust-network-access-ztna?ts=markdown). ![Diagram titled "Secure Access Service Edge (SASE)" showing the integration of networking and security services. At the top, four icons represent different cloud environments: SaaS Applications, Public Cloud, Private Cloud, and HQ/Data Center. Below, a horizontal bar labeled "Security as a Service Layer" includes five components: FwaaS, CASB, ZTNA, and Cloud SWG. Another bar labeled "Network as a Service Layer" contains SD-WAN. The bottom section shows three icons representing different locations: Branch/Retail, Home, and Mobile, connected by a red horizontal line. The diagram illustrates how SASE integrates security and networking services across various environments and locations.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/secure-access-service-edge.png "Diagram titled \"Secure Access Service Edge (SASE)\" showing the integration of networking and security services. At the top, four icons represent different cloud environments: SaaS Applications, Public Cloud, Private Cloud, and HQ/Data Center. Below, a horizontal bar labeled \"Security as a Service Layer\" includes five components: FwaaS, CASB, ZTNA, and Cloud SWG. Another bar labeled \"Network as a Service Layer\" contains SD-WAN. The bottom section shows three icons representing different locations: Branch/Retail, Home, and Mobile, connected by a red horizontal line. The diagram illustrates how SASE integrates security and networking services across various environments and locations.") ***Further reading:** [SD-WAN vs. SASE: What's the Difference?](https://www.paloaltonetworks.com/cyberpedia/sd-wan-vs-sase)* ## What are the similarities between SD-WAN and WAN? ![Image depicting the commonalities between traditional WAN and SD-WAN. A central blue panel lists four shared features: Basic connectivity, Use of multiple transport methods, Support for critical business applications, and Enhanced network performance, each accompanied by a corresponding icon. This panel is bordered by two gray icons, one labeled](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/wan-and-sd-wan-similarities.png " Image depicting the commonalities between traditional WAN and SD-WAN. A central blue panel lists four shared features: Basic connectivity, Use of multiple transport methods, Support for critical business applications, and Enhanced network performance, each accompanied by a corresponding icon. This panel is bordered by two gray icons, one labeled ") Though the two technologies have substantial differences, SD-WAN and WAN technologies also have similarities, including: basic connectivity functions, use of multiple transport methods, support for critical applications, and focus on enhancing network performance. These shared attributes highlight the essential roles of WAN and SD-WAN in modern networking infrastructure. ### Basic connectivity Both WAN and SD-WAN provide connectivity over large areas. They connect multiple local area networks (LANs) and remote sites, allowing for communication and data sharing between different locations. The fundamental purpose of both technologies is effectively the same, ensuring that dispersed networks can function as a cohesive system. ### Use of multiple transport methods WAN and SD-WAN both use various transport methods to establish connections. As established, these can include: MPLS, broadband connections, LTE, and even satellite links. By supporting multiple transport methods, both WAN and SD-WAN offer flexibility in how network traffic is routed and managed. ### Support for critical business applications WAN and SD-WAN are each instrumental in running critical applications that need reliable network performance. They make it possible to use applications across different sites so employees can access the necessary tools to perform their tasks---whether they're in the office or working remotely. ### Enhanced network performance WAN and SD-WAN aim to enhance network performance. They both focus on providing reliable, efficient data transfer across the network. While their approaches differ, the purpose is common to both. ## What makes SD-WAN a better choice over WAN? The advantages of SD-WAN versus traditional WAN technologies can make it a compelling option for many organizations. ***Note*** *It's important to recognize that while SD-WAN solutions can offer significant benefits, there are scenarios where traditional WAN may still be the better choice.* SD-WAN tends to be an attractive alternative to traditional WAN because of its more modern approach to managing wide area networks. Organizations can adapt quickly to changing demands, streamline network management, and optimize overall performance. Here's when SD-WAN is more than likely the right decision: * For organizations with multiple branch locations, dynamic traffic demands, or significant reliance on cloud applications. * Businesses that need to quickly scale their network infrastructure to accommodate growth or seasonal spikes will benefit from SD-WAN's ease of deployment and scalability. * Companies seeking to implement comprehensive security policies across dispersed locations will find SD-WAN's integrated security features helpful. * Organizations looking to reduce operational costs while maintaining high network performance and reliability will see meaningful benefits from adopting SD-WAN over traditional WAN. [![Teal, rectangular CTA button. On the left side, there is a white icon featuring a stylized paper airplane within a dotted circle. The text to the right reads, "Test drive Prisma SD-WAN to find out if it's right for you." Below this text is a white button with rounded edges containing the words, "Start your free trial."](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/sd-wan-test-drive.png)](https://start.paloaltonetworks.com/prisma-sd-wan-free-trial.html) ## When is traditional WAN the right choice? While SD-WAN offers numerous benefits, as discussed, there are scenarios where traditional WAN is still a better option for some organizations. Traditional WANs provide reliable, high-quality connections. They tend to work well for businesses that prioritize these aspects over the flexibility and cost savings offered by SD-WAN. Organizations with one or more of the following conditions might find traditional WAN more suitable: * Consistent, predictable traffic patterns * The need for dedicated, private circuits * Limited IT resources * Significant existing investments in WAN infrastructure * Stable, localized operations * Reliance on legacy applications that require specific network configurations * QoS requirements that MPLS circuits provide ## How to choose between WAN and SD-WAN ![Image depicting how to choose between WAN and SD-WAN](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/how-to-choose-wan-or-sd-wan.png "Image depicting how to choose between WAN and SD-WAN ") To decide between WAN and SD-WAN, you'll need a full understanding of your organization's unique needs, existing infrastructure, and future growth plans. Both technologies have strengths and limitations. The choice ultimately depends on your specific requirements. 1. **Assess performance and reliability needs** Start by identifying your network performance and reliability requirements. If your current setup consistently meets these needs, you might lean towards staying with traditional WAN. However, if you experience frequent downtime, latency issues, or require higher performance, you might consider SD-WAN for its dynamic routing and multiple connection paths. 2. **Evaluate cost considerations** Compare the costs of traditional WAN and SD-WAN. Traditional WANs often rely on expensive MPLS circuits, while SD-WAN can utilize cheaper mobile data and broadband connections. The actual costs can definitely vary depending on your geography, existing infrastructure, and specific needs. So carefully assess your budget and the cost-effectiveness of both options to determine which aligns better with your financial priorities. 3. **Consider scalability and flexibility** Review your business's growth plans and assess how easily each technology can scale with your needs. If you plan to expand geographically or frequently add new sites, consider how each solution supports this growth. If your expansion plans are modest and predictable, traditional WAN might suffice. Especially if your current setup can handle additional hardware and configuration without extensive changes. If rapid or frequent scaling is crucial, SD-WAN might be more suitable. Software-defined controls allow for quick, seamless integration of new sites and connections. This is particularly beneficial if your business needs to adapt swiftly to changing conditions or unexpected growth. 4. **Examine security requirements** Analyze your security needs and determine how each technology aligns with your security policies. If your organization requires dedicated circuits, traditional WAN might be more appropriate. It provides strong security through dedicated, private connections, which can be critical for industries with stringent security requirements. If centralized security management is important, SD-WAN might be a better fit. It offers features like end-to-end encryption and unified threat management, which can simplify managing security across multiple locations. Consider SD-WAN if you need consistent security policies applied universally across your network. 5. **Review network management needs** Consider the importance of network visibility and control for your organization. If your current setup provides sufficient visibility and control, and you are comfortable with the existing network management tools, traditional WAN might be adequate. If you require real-time, granular visibility into the entire network, SD-WAN could be a better fit. It offers advanced network monitoring and centralized management features that enhance control over your network infrastructure. 6. **Analyze existing infrastructure and investments** Evaluate your existing network hardware and infrastructure: * **Current setup** If your traditional WAN setup is performing well and meeting your needs, it might be practical to continue using it. However, if it's outdated or requires frequent maintenance, considering SD-WAN might offer better long-term value. * **Lifecycle stage** Assess whether your network hardware is nearing the end of its lifecycle. If it's outdated or costly to maintain, transitioning to SD-WAN could provide an opportunity to modernize your network infrastructure. * **Compatibility** Determine if your current WAN infrastructure can support future growth and new technologies. If scalability and flexibility are limited, SD-WAN might be a more adaptable solution. 7. **Align with organizational goals** Evaluate how each network solution aligns with your business objectives and future growth plans. If your organization prioritizes agility, cost savings, and scalability, SD-WAN might be a better fit. On the other hand, if stability and sticking with existing investments are more important, traditional WAN could be the choice. Consider how each option fits into your overall IT strategy and ensure it supports both current operations and future expansion. By aligning your network choice with your organizational goals, you can make an informed decision that best suits your needs. By thoroughly evaluating these factors, you can make an informed decision that aligns with your organizational goals and future growth plans. [![Teal CTA banner featuring an icon of a hand holding a square labeled "SD-WAN" on the left. The text reads "Get a personalized Prisma SD-WAN demo." Below this text is a button labeled "Request demo."](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/prisma-sdwan-demo.png)](https://www.paloaltonetworks.com/company/request-demo) ## Traditional WAN vs. SD-WAN FAQs ### What is the difference between WAN and SD-WAN? WAN is a traditional network using hardware-based routers and manual configuration, while SD-WAN is a software-defined approach that offers centralized control and dynamic traffic management over various connection types. ### Why is SD-WAN better? SD-WAN offers better performance, cost efficiency, scalability, enhanced security, improved network visibility, and simplified management compared to traditional WAN. However, it's important to note that while SD-WAN provides significant benefits, there are scenarios where traditional WAN may still be the better choice. ### When should you use SD-WAN? Use SD-WAN when you need high performance, cost-effective, scalable, and secure network management, especially for organizations with multiple locations and dynamic traffic requirements. ### What are the disadvantages of SD-WAN? SD-WAN can be complex to implement and configure, require a significant initial investment, and depend on internet connectivity, which can impact performance and reliability. ### Is SD-WAN cheaper than WAN? Yes, SD-WAN is generally more cost-effective than traditional WAN, as it uses cheaper broadband and mobile data connections instead of expensive MPLS circuits. However, initial setup costs, complex network requirements, existing infrastructure investments, managed services fees, and regional connectivity costs can sometimes make SD-WAN more expensive than traditional WAN. ### How does sd-wan architecture differ from traditional networking architecture? SD-WAN architecture uses a centralized control plane to manage and optimize traffic across various connection types, whereas traditional networking architecture relies on hardware-based routers with manual configuration. SD-WAN's software-defined approach allows for dynamic traffic management and real-time adjustments, enhancing flexibility and efficiency. ### What are the SD-WAN benefits over a traditional environment? SD-WAN offers better performance, cost efficiency, scalability, enhanced security, improved network visibility, and simplified management compared to traditional WAN. However, it's important to note that while SD-WAN provides significant benefits, there are scenarios where traditional WAN may still be the better choice. Related Content [Report: 2024 Gartner Magic Quadrant for SD-WAN 5-time Leader with the Furthest for Completeness of Vision.](https://start.paloaltonetworks.com/gartner-sd-wan-mq-2024.html) [Case study: National Automotive Retailer Replaces MPLS with Prisma SD-WAN, Gains Fast and Uninterrupted Connectivity See how AutoNation reduced telco costs by 25% with SD-WAN.](https://www.paloaltonetworks.com/customers/autonation?ts=markdown) [Study: Forrester Total Economic Impact of Prisma SD-WAN Discover the potential ROI Prisma SD-WAN can deliver.](https://start.paloaltonetworks.com/tei-spotlight-sd-wan) [Video: Branch of the Future with SD-WAN Find out how Prisma SD-WAN powers the branch of the future.](https://www.paloaltonetworks.com/resources/videos/branch-of-the-future-with-sd-wan?ts=markdown) ![Share page on facebook](https://www.paloaltonetworks.com/etc/clientlibs/clean/imgs/resources/facebook-circular-icon.svg) ![Share page on linkedin](https://www.paloaltonetworks.com/etc/clientlibs/clean/imgs/resources/linkedin-circular-icon.svg) [![Share page by an email](https://www.paloaltonetworks.com/etc/clientlibs/clean/imgs/resources/email-circular-icon.svg)](mailto:?subject=Traditional%20WAN%20vs.%20SD-WAN%3A%20What%20Are%20the%20Differences%3F&body=WAN%20is%20a%20traditional%20network%20using%20hardware-based%20routers%20and%20manual%20setup%2C%20while%20SD-WAN%20is%20software-defined%20and%20uses%20centralized%2C%20dynamic%20traffic%20management.%20at%20https%3A//www.paloaltonetworks.com/cyberpedia/traditional-wan-vs-sd-wan) Back to Top {#footer} ## 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