Understanding Latency in SD-WAN


In the world of Software-Defined Wide Area Networking (SD-WAN), latency is a critical factor that can make or break the performance of your network. Whether you're streaming a video conference, accessing cloud applications, or transferring large files, latency—the time it takes for data to travel from point A to point B—directly impacts user experience and operational efficiency. This chapter explores the concept of latency in the SD-WAN context, its causes, its effects, and how SD-WAN solutions mitigate it to deliver seamless connectivity.
What is Latency in SD-WAN?
Latency refers to the delay between when a data packet is sent and when it is received. In SD-WAN, which connects geographically dispersed locations using a combination of internet, MPLS, and other transport links, latency is influenced by multiple factors, including physical distance, network congestion, and the quality of the underlying connections. As noted in The Latency Lag: Why Your Internet Feels Slower Than a Friday Afternoon at Work (Amastelek, 2023), latency is often the hidden culprit behind sluggish internet performance, manifesting as delays in video calls, slow application responses, or dropped connections.
In SD-WAN, latency is particularly critical because the technology dynamically routes traffic across multiple paths (e.g., broadband, LTE, or MPLS) to optimize performance. However, each path introduces variables that can increase latency, such as packet queuing, jitter, or suboptimal routing decisions.
Causes of Latency in SD-WAN
Several factors contribute to latency in SD-WAN environments:
Physical Distance: The farther data must travel, the higher the latency. For example, a branch office in New York accessing a server in Singapore will experience higher latency than one accessing a server in Chicago due to the time it takes for signals to travel across global networks.
Network Congestion: As highlighted in the Amastelek article, congestion occurs when too much data competes for limited bandwidth, like cars stuck in rush-hour traffic. In SD-WAN, this can happen on shared internet links during peak usage times, leading to packet delays.
Routing Inefficiencies: SD-WAN relies on intelligent routing to select the best path for data. However, if the routing algorithm misjudges link quality or prioritizes a slower path, latency can spike.
Jitter and Packet Loss: Jitter, the variation in packet arrival times, and packet loss, where data packets fail to reach their destination, exacerbate latency issues. These are particularly problematic for real-time applications like VoIP or video conferencing, where consistent timing is crucial.
Encryption and Processing Overheads: SD-WAN often uses encrypted tunnels (e.g., IPsec) to secure data. While essential for security, encryption and decryption processes can introduce slight delays, especially on low-powered edge devices.
The Impact of Latency on SD-WAN Performance
High latency in an SD-WAN environment can degrade the user experience and disrupt business operations. For instance:
Cloud Application Performance: Applications like Microsoft 365 or Salesforce, hosted in the cloud, are sensitive to latency. Delays can result in slow load times or interrupted workflows, reducing productivity.
Real-Time Communications: VoIP and video conferencing tools, such as Zoom or Microsoft Teams, suffer from high latency, leading to choppy audio, frozen video, or dropped calls.
Customer Experience: For businesses with customer-facing applications, such as e-commerce platforms, latency can drive users away, as even a one-second delay can reduce customer satisfaction and conversion rates.
The Amastelek article emphasizes that latency feels like "a Friday afternoon at work"—a sluggish, frustrating experience that compounds over time. In SD-WAN, this translates to lost efficiency and potential revenue impacts for businesses relying on fast, reliable connectivity.
How SD-WAN Mitigates Latency
SD-WAN is designed to address latency challenges through intelligent traffic management and optimization techniques. Here’s how:
Dynamic Path Selection: SD-WAN continuously monitors the performance of all available network paths (e.g., MPLS, broadband, LTE) and selects the one with the lowest latency and highest reliability for each application. For example, latency-sensitive applications like VoIP can be prioritized over MPLS, while bulk data transfers use broadband.
Application-Aware Routing: SD-WAN can identify specific applications and apply policies to ensure low-latency delivery. For instance, it might prioritize Microsoft Teams traffic over less critical file downloads.
Forward Error Correction (FEC): To combat packet loss, which can increase latency by requiring retransmissions, SD-WAN solutions use FEC to proactively send redundant data, ensuring packets arrive intact without delays.
Load Balancing and Failover: By distributing traffic across multiple links and automatically switching to a backup path if a primary link becomes congested, SD-WAN minimizes latency spikes caused by network bottlenecks.
WAN Optimization: Some SD-WAN solutions incorporate techniques like data compression, caching, and protocol optimization to reduce the amount of data sent over the network, thereby lowering latency.
Best Practices for Minimizing Latency in SD-WAN
To optimize latency in your SD-WAN deployment, consider the following best practices:
Monitor Network Performance: Use SD-WAN’s built-in analytics to track latency, jitter, and packet loss across all paths. This helps identify and address issues before they impact users.
Prioritize Critical Applications: Configure policies to ensure low-latency paths for mission-critical applications like VoIP or ERP systems.
Leverage Local Internet Breakout: For cloud-based applications, route traffic directly to the internet from branch offices rather than backhauling it through a central data center, reducing latency.
Optimize Hardware: Ensure edge devices have sufficient processing power to handle encryption and routing without introducing delays.
Regularly Update SD-WAN Policies: As network conditions change, update routing and prioritization policies to maintain optimal performance.
Wrap
Latency is a persistent challenge in SD-WAN environments, but it’s one that modern SD-WAN solutions are well-equipped to handle. By understanding the causes of latency—such as physical distance, congestion, and routing inefficiencies—and leveraging SD-WAN’s intelligent features like dynamic path selection and application-aware routing, businesses can deliver fast, reliable connectivity. As the Amastelek article aptly puts it, latency can make your network feel like a sluggish Friday afternoon, but with the right tools and strategies, SD-WAN can keep your network running as smoothly as a Monday morning. In the next chapter, we’ll explore how to measure and monitor latency to ensure your SD-WAN deployment meets performance expectations.
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Written by

Ronald Bartels
Ronald Bartels
Driving SD-WAN Adoption in South Africa