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The Metro Ethernet Channel

Metro Ethernet Feature

November 28, 2011

Metro Ethernet vs T1: What's the Better Choice for City-Dwelling Businesses?

By Tammy Wolf, TMCnet Web Editor

As large cities across the nation start to overflow with frenzied holiday shoppers, metropolitan-area businesses will now more than ever require a robust and reliable network connection as they communicate between offices. And, just as we have choices in what color sweater to buy for our loved one this year for Christmas, options also exist for Internet connections.

When it comes to businesses located in major cities like New York City, Washington, D.C., or Boston, T1 lines and metro Ethernet remain as the primary considerations for point-to-point connections. T1 is classified as a simple and affordable phone and Internet option for SMBs, while metro Ethernet has become the more popular and sophisticated choice among city-dwelling companies that have multiple sites within the area.

Obviously, location is the key factor in determining that a T1 or metro Ethernet service would be most suitable for businesses situated in urban sections. These city blocks demand reliable, high-speed access connectivity and have the potential to pose challenges and restrictions for communications. While T1 can sometimes be the cheaper alternative, metro Ethernet comes in many forms – be it MPLS, point-to-multi-point, or virtual LAN – in order to streamline communications among multiple branches within metro areas.

Of course, features and services will vary depending on which service provider you choose, but in comparing T1 and metro Ethernet side-by-side, there are positive aspects to both.

Speed

A typical T1 line is said to provide 1.5 Mbps of bandwidth, so businesses needing more than what a standard T1 can offer should probably consider metro Ethernet, which is available in speeds from 1 Mbps to 10 Gpbs and is ideally scalable to meet an organization’s changing needs. Therefore, it would be wise of a large business in a metro area to opt for metro Ethernet, as it exceeds the bandwidth expectations usually required by large-scale companies. Either way, speed is determined by the distance between the metro Ethernet provider and the actual office location.

Cost

Metro Ethernet typically comes at a higher price point than T1, however, it is certainly affordable for large businesses. According to experts, the average cost of a T1 connection is $249 per month per a SMB requiring a bandwidth of 1.5 Mpbs. On the other hand, metro Ethernet starts at $895 for 10 Mbps, but is obviously the more cost-effective choice for businesses with multiple sites.

Equipment and set-up

Set-up is another area where metro Ethernet and T1 are most disparate, as T1 requires its own equipment for installation. Meanwhile, metro Ethernet promises a more relaxed and ready-set-go procedure for set-up since all you have to do is plug your computer into the provider Ethernet’s jack.

While the decision for a sweater may come down to choosing between a sky blue or an off-white, weighing the options for your business’ connection is a bit more clear: Metro Ethernet is the way to go if the cost of implementation is appropriate for your bandwidth needs. Now, if only there were a solution to crowded city streets…


Tammy Wolf is a TMCnet web editor. She covers a wide range of topics, including IP communications and information technology. To read more of her articles, please visit her columnist page.

Edited by Carrie Schmelkin

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