With the ever changing requirements in the data centre for the cloud environment, the network requirements also changes accordingly. The application owner has the flexibility to request for moreless data centre resources to run his application and has the flexibility to request for change at any time and any number of times. To accommodate for changing data traffic and changing requirements for the cloud, high-end network equipments have been recommended which can handle increase in data traffic. But this is not a good option as a lot of network resources and CAPEX is wasted just waiting for the increase in network traffic which might never happen. Optimal utilization of available costly network resources is not achieved.