Updated November 2026
The short version
- SD-WAN combines the connections at each site, such as fiber, fixed wireless or 5G, into one managed network.
- Rules set in one place decide which traffic takes which path, and traffic moves to a working connection if one has a problem.
- Many businesses use SD-WAN to connect locations over business internet instead of, or alongside, private MPLS circuits.
How SD-WAN works
A wide area network (WAN) connects offices to each other, to data centers and to the cloud. SD-WAN puts an edge device or software at each location and manages all of them from one central controller.
The controller holds the rules. Each edge device checks the connections at its site in real time and sends each type of traffic over the path that best meets those rules. Cisco describes this as steering traffic based on application needs and network conditions.
- Edge devices at each site connect to the local internet connections.
- A central controller sets the rules for every site at once.
- An overlay network runs on top of whatever connections each site has, such as fiber, broadband, fixed wireless or 5G.
What SD-WAN does for a business
Keeps important apps fast
- Sends calls and video over the best path
- Gives priority to the apps you choose
- Adjusts as conditions change
Keeps sites online
- Uses two or more connections together
- Moves traffic if one connection has a problem
- Works across different connection types
Because the rules live in one place, adding a new location or changing a policy does not mean configuring every office by hand.
SD-WAN and MPLS
SD-WAN grew out of MPLS, the private circuits many businesses used to link their locations. TechTarget notes that SD-WAN can run over MPLS, broadband, fiber, wireless or 5G, which is why many businesses now use it instead of, or alongside, MPLS.
SD-WAN and security
On its own, SD-WAN focuses on connectivity and is usually paired with a firewall at each location. SASE builds on SD-WAN and adds cloud-delivered security, so staff get the same protections in the office, at home or on the road.
Managed, co-managed or do it yourself
TechTarget describes three ways to run SD-WAN: build and run it yourself, have a provider manage it fully, or share the work with a provider. With managed SD-WAN, the provider designs, installs, monitors and updates it for you.
Does your business need SD-WAN?
- You have more than one location to connect.
- You want two connections at a site and automatic failover between them.
- Calls, video meetings or cloud apps suffer when a connection slows down.
- You are paying for MPLS and want to compare other options.
If you have one office with one connection, SD-WAN may be more than you need. A second connection with automatic failover can be a simpler first step.
How 5x5 Telecom can help
5x5 Telecom provides managed SD-WAN, and the same team also provides and supports the internet connections underneath it, so one provider is responsible for performance end to end. We offer dedicated internet access, dedicated fiber, fixed wireless, and 5G and 4G LTE.
For SLA-backed services, we commit to at least 99.999% network availability, subject to the SLA. Our 24/7 US-based team answers every ticket within 60 minutes.