A wide area network (WAN) is a network that connects devices, systems, and locations across large geographic distances — linking branch offices, data centers, cloud environments, and remote users into a unified network infrastructure. Unlike local networks that operate within a single building or campus, a network WAN spans cities, regions, or even countries.

For enterprise organizations, the WAN is the connective tissue between everything: your users, your applications, and your data centers. When WAN wide area network infrastructure is fragmented — built up over years of acquisitions, carrier contracts, and reactive decisions — it becomes one of the most significant sources of unnecessary cost and operational complexity in your entire infrastructure footprint.

That's why WAN consolidation and data center consolidation aren't separate projects. They're two sides of the same strategic initiative.

Many organizations accumulate infrastructure complexity over time — especially after years of mergers and acquisitions.

While systems like email and back-office applications may be integrated, core infrastructure often remains fragmented across:

• Multiple data centers
• Disparate WAN environments
• Redundant network and compute resources

When organizations begin to analyze costs and performance, consolidation becomes an obvious opportunity.

A structured WAN and data center consolidation strategy allows organizations to:

• Reduce redundant infrastructure
• Address technical debt incrementally
• Improve performance without massive upfront capital investment

Data center consolidation is the process of reducing the number of physical or virtual data center environments an organization operates by merging workloads, retiring redundant facilities, and rationalizing infrastructure across locations. For enterprise organizations managing multipledata centers, consolidation creates a more efficient, secure, and cost-effective foundation.

When combined with WAN consolidation, it becomes a comprehensive infrastructure transformation strategy — not just a cost-cutting exercise.

Cost savings are often the primary driver behind consolidation initiatives.

Industry benchmarks show:

• Up to 25% savings in year one
• Up to 50% savings over three years
• WAN cost reductions of 20–50%

However, based on Vsol's experience, real-world results often exceed these averages:

• ~30% annual savings from data center consolidation
• ~45% savings from WAN consolidation

These savings come from:

• Reduced hardware and software costs
• Lower energy and facility costs
• Elimination of unused or redundant services

This creates an opportunity for IT leaders to adopt a “Save $2 to Spend $1” strategy, where cost savings fund future modernization efforts.

While cost savings are compelling, consolidation also delivers broader operational benefits that improve efficiency across the organization:

Improved Reliability and Performance
A simplified infrastructure leads to more efficient operations and better application performance.

Improved Security
Fewer entry points and centralized infrastructure improve monitoring and security control.

Lower Carbon Footprint
Reducing physical infrastructure decreases power, cooling, and space requirements.

Simplified Support and Operations
Consolidation requires asset visibility and documentation, which ultimately simplifies ongoing support and staffing.

You can read more about Asset Management and Discovery from our blog. 

Our client, a mid-sized enterprise with approximately 2,000 global employees, faced a common challenge:

• 10 data centers across regions
• Multiple cloud environments
• Aging infrastructure
• Reduced staffing
• Strict “no new spend” budget

At the same time, leadership required measurable cost reductions.

We began by analyzing WAN and telecom spend across all locations.

Findings:

• $55,000/month in WAN and telecom costs
• $38,000/month out-of-contract

By renegotiating and consolidating services:

• Reduced spend to $25,000/month
• Achieved a 54% reduction
• Over 3 years: $1.2 million in savings

This provided the financial foundation for broader infrastructure changes.

Vsol Data Center Consolidation Case Study

The plan was to:

• Consolidate 10 data centers into 2 strategic locations
  • One East Coast facility
  • One central U.S. facility
• Rationalize private cloud environments
• Reduce redundant infrastructure and services
• Improve performance and simplify operations

Consolidating WAN and data centers is not just a technical project — it is a strategic initiative.

Organizations should focus on:

• Accurate asset discovery and visibility - you can't consolidate what you can't see
• Cost-benefit analysis before execution - understand the financial case across all networks before committing
• Phased implementation approach - avoid disruption by sequencing the work deliberately
• Alignment with long-term infrastructure strategy - consolidation should support where you're going, not just reduce what you have

For more information, please check out our blogs on Hybrid Infrastructure Strategy and Asset Management & Discovery

WAN and data center consolidation is complex, time-consuming, and requires careful planning — but the results can be transformative.

Organizations that approach consolidation strategically can:

• Reduce infrastructure costs
• Improve performance and reliability
• Strengthen security
• Simplify operations

With the right partner and a structured approach, consolidation becomes more than a cost-cutting initiative — it becomes a foundation for long-term enterprise infrastructure strategy.

If you're considering a consolidation strategy or looking to align infrastructure with long-term business goals, connect with our team to explore what’s possible within your current environment.