Tokyo-based service provider KVH has launched a new cloud-based network virtualization service called Private Cloud Type-S – a new private cloud service.

Type-S makes use of Midokura’s MidoNet network virtualization software, which is based on OpenStack and supports software-defined networking (SDN) and network functions virtualization (NFV) to provide open and flexible next-generation cloud environments.

“With the standard private cloud service, customers need to separately purchase the following managed IT services: a firewall, a L4 load balancer, and a L3 distributed router to complete their cloud environment,” Yoshiyuki Hamada, VP of technology at KVH said.

“Considering that the average number of servers that customers use is approximately 20 to 30, the fee for these other IT managed service is proportionately high and considered expensive.

“Private Cloud Type-S includes these additional elements thereby making it more economical to operate.”

Private Cloud Type-S will be part of KVH’s Private Cloud service, with all support provided through KVH, which operates across Asia.

The service will only be offered in Japan initially, though KVH says it is always evaluating how to offer its complete service portfolio in other key Asia markets such as Hong Kong and Singapore.

KVH says it sees OpenStack becoming the standardized operating system for cloud computing, and the deployment of SDN/NVF technology and OpenStack as significant turning points for the company to promote innovative new services.

KVH has been moving beyond establishing new data centers and physical network connectivity into services that can benefit data center customers.

By integrating its cloud and network service offerings, it has offered new services such as etherXEN, DCNet and a variety of other partner services.

FOCUS recently reported on the launch of KVH’s DCNet in May, a new data center-to-data center interconnection service that will link 100 data centers in cities across Asia at speeds of up to 100Gbps of end-to-end connectivity eventually.

The primary advantage of DCNet is its availability as a burstable service, offering customers the flexibility without having to commit to a fixed bandwidth.