What Is NaaS (Network as a Service)?

Related problems: Network hardware refreshes cost too much up front; Too few people to run our network across many sites; Need to add or change sites faster than our current network allows; Paying for network capacity we don't use

Network as a Service (NaaS) is a way of buying network capabilities as a subscription or on a consumption basis, rather than as a capital project. The capabilities may include wide area connectivity, switching and Wi-Fi, routing and security. In many offers the provider also operates the network and owns the equipment, but those are common characteristics rather than part of the definition, so buyers need to check who is responsible for what. The term is used loosely in the market, so the exact scope of any NaaS offer depends on the provider.

At a glance

  • NaaS is a buying model: network capability as a subscription or metered by consumption.
  • Scope varies by provider and can include WAN, SD-WAN, LAN and Wi-Fi, security and support, alone or in combination.
  • Provider operation and provider-owned equipment are common but not universal; verify management scope, ownership and how usage is metered.
  • Many offers let you add sites or change capacity through a portal, though new circuits still have installation lead times.
  • Because the label is loose, an itemized scope and clear exit terms matter more than the name.

What problem it solves

Traditional networks are bought in large hardware purchases, refreshed every few years, and run by in-house staff or a separate managed service provider. That model ties up capital, makes it slow to add sites or change capacity, and depends on hiring scarce network skills.

NaaS addresses those problems by making the network a subscription or a metered service. Depending on the offer, the provider may also design, supply and operate it; the customer pays for what it uses or subscribes to, and changes the service as the business changes. For organizations that are growing quickly, opening and closing sites, or short on network staff, that can mean faster changes and more predictable costs. The trade-offs are dependence on one provider and less direct control over the equipment and design.

How it works

Scope. NaaS offers range widely. Some cover the wide area network: connectivity between sites, data centers and clouds, often using SD-WAN and the provider’s own backbone. Others cover the campus: switches, access points and managed Wi-Fi. Some bundle security functions and position themselves alongside secure access service edge (SASE) offerings.

Software control. Many NaaS platforms are built on software-defined networking (SDN) principles, which let the provider configure and change the network centrally. That is what makes portal-driven changes, such as adjusting bandwidth or spinning up a connection to a cloud region, possible where the provider supports them.

Equipment. In many offers the provider supplies, owns and maintains the on-site devices and may replace them during the term; in others the customer owns or buys the hardware. Some offers bundle the hardware into the subscription; others charge separately for it.

Pricing. Fees may be per site, per user, per device, per unit of bandwidth or usage-based, often with a minimum term.

Operations. Many NaaS providers monitor the network, handle faults and apply updates under an SLA, but the split of management responsibilities varies, so confirm what the provider runs and what stays with your team.

For a deeper look at how NaaS offers compare, see our Network as a Service solution page.

When it matters for buyers

  • Hardware refresh. When switches, routers or access points reach end of life, NaaS is one alternative to another capital purchase.
  • Rapid growth or change. Adding, moving or closing sites is often simpler when the network is a subscription.
  • Thin network team. If you cannot hire or keep network engineers, a provider-operated network reduces that dependence.
  • Cloud-first strategy. NaaS offers with direct cloud connectivity can simplify reaching multiple clouds.
  • Budget model. Organizations that prefer operating expense over capital spending often look at NaaS.

Questions to ask vendors

  • Exactly what does the subscription include: connectivity, equipment, Wi-Fi, security, monitoring, support?
  • Who owns the equipment, and is a refresh included during the term?
  • What can we change ourselves through a portal, how quickly, and what requires a ticket or site visit?
  • How is pricing calculated, what are the minimums, and how do charges change if we add or remove sites?
  • What does the SLA cover, and how are credits calculated?
  • What visibility do we get into performance, configuration and security events?
  • At the end of the term, how do we exit, what happens to the equipment, and how long would migration take?

How it differs from managed network services

Managed network services describe who operates the network: a provider monitors, maintains and supports it, whether the equipment and circuits are yours, leased or the provider’s. NaaS describes how the network is bought: as a subscription or by consumption, often with the provider supplying and running it. Fully managed arrangements in which the provider owns the equipment are sometimes sold under either name, so the line is blurry. Because neither label settles ownership or scope, compare what the contract actually says: who owns the equipment, who manages what, how usage is metered and how far you can scale up or down within the term.

Frequently Asked Questions

Is NaaS the same as managed network services?
They overlap. Managed network services are usually an operating arrangement on a network you own or lease. NaaS describes buying the network capability itself as a subscription or by consumption, which in many offers includes provider-owned equipment and connectivity. Some fully managed offers are marketed as NaaS, so compare what each contract actually includes.
What does a NaaS subscription usually include?
It varies widely by provider. Offers may cover WAN or SD-WAN connectivity, LAN switching and Wi-Fi, security functions, monitoring and support, or a subset of these. Some include equipment refreshes over the term; others do not. Ask for an itemized scope.
Is NaaS cheaper than owning the network?
Not necessarily. It turns capital spending into an operating expense and can reduce staffing needs, but total cost over a multi-year term may be higher or lower than buying and running equipment yourself. Compare on the same scope and term.
What happens to the equipment at the end of a NaaS contract?
It depends on the contract. Often the provider owns the equipment and takes it back or refreshes it on renewal. Check return obligations, buyout options and how the transition to another provider would work.
Can we change bandwidth or add sites quickly with NaaS?
Many NaaS offers are designed for that, often through a portal, but speed depends on what is involved. Changing a software setting can be fast; adding a site that needs a new circuit or on-site equipment still depends on installation lead times.

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