Aug 06 2025
Networking

What Does Intelligent Cloud Networking Mean for Small Businesses?

Experts share a few ways software-defined networks and artificial intelligence form the basis of a smarter cloud.

Software-defined networking and artificial intelligence are reshaping cloud networking. A 2024 Gartner report projects that 70% of software-defined WAN operations will rely on generative AI by 2027, compared with less than 5% in early 2024.

But to reap these benefits, small businesses must ensure that trained AI models, security frameworks and edge computing are in place. Here are the fundamentals teams should know as they build out their intelligent cloud networks.

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SDN and AI Form the Basis of Intelligent Cloud Networking

The principle of separating network control from data flow underpins software-defined networking. It’s a design that facilitates network efficiency by enabling real-time monitoring, dynamic programmability and automated settings. With AI in the mix, networks can quickly adjust to changing traffic patterns, identify abnormalities and maximize performance.

Ultimately, this offers small businesses enterprise-grade network intelligence without the need for a full IT team. Teams can manage online traffic; prevent point-of-sale system slowdowns; block malicious traffic fast; and prioritize business-critical applications, such as inventory syncing.

Teams can also take advantage of intent-based networking, which means that high-level business policies are automatically translated into real-time network configurations. This reduces the need for manual configurations and ensures that compliance standards are met.

Small businesses such as 1-800-Flowers.com are finding success in this way, according to CDW solutions architect John Klein. Others include Henry’s House of Coffee, a family-owned coffee roaster and e-commerce brand, which relies on AI to track online customer traffic, according to the U.S. Chamber of Commerce.

Startups such as Nexthop AI, Startups such as founded by Anshul Sadana, the former COO of Arista Networks, delivers AI-driven software-defined networking solutions tailored for hyperscale data center operators. Thanks to $110 million in funding, the platform dynamically adapts to traffic surges and evolving workload patterns.

Other startups, such as DriveNets, use cloud-native, containerized microservices to optimize networking across distributed environments. With intelligent resource orchestration and telemetry, the platform adapts to network behavior in real time and makes predictive fixes. DriveNets customers including AT&T and KDDI have found significant cost savings as a result.

To fuel wider adoption, Cisco has integrated AI within its Application Centric Infrastructure to enhance security in hybrid and multicloud environments. AI-driven automation in Cisco ACI enables proactive threat detection. Google’s B4 SD-WAN is another example that uses AI for traffic engineering, self-healing and predictive failure detection.

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A Few Common AI-SDN Challenges

There are several challenges to AI-SDN adoption that small businesses should expect. For starters, it can be difficult to train these complex AI models because they require high-quality data sets for accurate threat detection and automation. Second, poor data quality can lead to false positives, inefficiencies and security vulnerabilities. And third, proprietary SDN solutions can limit flexibility in multicloud environments, increasing vendor-lock in and interoperability.

Best Practices for Adopting AI-SDN

Here are a few strategies that can improve the AI-SDN adoption process:

  • Choose cloud-native technologies. Kubernetes-based SDN solutions improve network flexibility, modularity and scalability.
  • Embrace open-source AI solutions. Cloud-native AI frameworks provide cost-effective SDN optimization while reducing reliance on proprietary technologies.
  • Implement zero-trust security models. AI-enhanced SDN supports strict access controls, dynamic policy enforcement and continuous monitoring.
  • Adopt AI-driven automation. Self-healing AI-SDN frameworks minimize manual intervention and improve network uptime. Organizations that adopt these strategies can enhance the security, efficiency and adaptability of their networks.

What Is the Future of AI and SDN?

In the coming years, AI-SDN is expected to play a vital role in 5G and edge computing, where ultralow latency and high-speed networking are critical for Internet of Things applications, smart city initiatives and driverless cars. Network slicing will also significantly improve performance and security across cloud infrastructures, and adoption will grow as vendor lock-in restrictions ease.

Small businesses will continue to benefit from how AI-driven SDN can prioritize traffic, segment networks and apply zero-touch provisioning to new sites. Teams can also adjust network bandwidth during peak customer hours, detect anomalous behavior (e.g., lateral movement, rogue IoT devices, or command-and-control traffic) and automatically quarantine affected segments. The popularity of self-healing networks will also grow because they can take preventive action before outages occur.

Ultimately, AI and SDN will create an intelligent cloud networking environment with dynamic resource management, self-healing capabilities and predictive intelligence.

Denis Pobytov/Getty Images
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