As organizations navigate continual modernization of enterprise connectivity, Networking-as-a-Service is evolving as a solution, while raising new operational and compliance considerations.

According to many industry organizations, Networking-as-a-Service (NaaS) is rapidly evolving beyond basic connectivity to become a fixture in enterprise networking.

The way ahead for NaaS involves deeper integration of AI and ML for predictive analytics, automated troubleshooting, and self-healing networks.

According to Lalit S Chowdhary, Chief Technology and Innovation Officer, Lightstorm, expect increased adoption of edge computing capabilities within NaaS offerings, reducing latency for real-time applications. speaks on the innovations and way ahead in the segment.

Here is what he shared with DigiconAsia.net…

DigiconAsia: What are the main challenges and best practices for integrating legacy network infrastructure with cloud-based NaaS solutions, especially for organizations undergoing digital transformation?

Lalit Chowdhary [LC]: A major challenge, in my opinion, is that legacy networks often lack support for automation standards like NETCONF, making integration with modern NaaS platforms technically challenging and costly.

However, bridging this gap is not unachievable. The industry trend, as seen with most leading software companies, is to embrace cloud technology and modernize operations to stay competitive.

Best practices include building bridging systems, and adopting open standards to ensure interoperability and future scalability.

Caveat: Industry experts note that successful transitions often require substantial investment in both technology and skills development.

DigiconAsia: With the rapid adoption of AI and hybrid work models, how are enterprise network spending patterns evolving in Asia, and what implications does this have for NaaS adoption?

LC: Industry reports generally indicate a strong preference for hybrid work models over fully on-site roles. This shift, combined with increasing AI-driven workload complexity, is fueling demand for cloud-first, AI-powered networking platforms.

According to Gartner, organizations are increasingly drawn to Cloud Infrastructure and Platform Services, which combine Infrastructure-as-a-Service and Platform-as-a-Service for efficiency and flexibility. NaaS, with its pay-per-use model, offers agility and scalability suited to dynamic IT environments — a trend I see accelerating across Asia as data consumption surges.

Caveat: Although hybrid work and AI adoption are driving interest in flexible networking models, many enterprises continue to rely on hybrid or on-premises solutions for critical workloads, particularly in highly regulated industries, due to certain requirements around data privacy, compliance, and control.

DigiconAsia: How is increased AI adoption influencing network infrastructure requirements and security risks, and what role can NaaS play in addressing these challenges, particularly for regulated sectors and government entities?

LC: AI adoption is driving significant growth in data center connectivity, with annual demand increases projected at 19–22% through to 2030.

This puts pressure on networks to support high-throughput, low-latency, and secure data flows.

In my opinion, the ability to process trillions of instructions per second strains current encryption algorithms, highlighting the need for quantum-safe communication standards.

For regulated sectors and government, NaaS offers centralized policy enforcement, integrated security (such as Zero Trust and encrypted access), and automated compliance monitoring across multi-cloud environments. This makes NaaS a strategic tool for maintaining compliance and security in a complex regulatory landscape.

Caveat: While NaaS providers are investing in advanced security and compliance features, independent analysts caution that no solution is one-size-fits-all. Enterprises should carefully assess vendor capabilities, interoperability, and evolving regulatory requirements before migrating sensitive workloads to NaaS platforms.

DigiconAsia thanks Lalit Chowdhary for sharing his professional insights with readers.

Editor’s note: While many industry organizations and vendors are optimistic about the rapid evolution of NaaS, adoption rates and maturity levels vary widely across sectors and regions. Some enterprises remain cautious due to integration complexity, security concerns, and regulatory requirements. Note also, the caveats listed where appropriate.