Home | Reports | Technical Documents | Tech-Blog | One-Shot Gallery | Korea ICT News | About Us | List of Contributors | Become a Contributor |  How to Advertise  
 
  KT SK Telecom LG U+ Korean Vendors Network Architectures  
 
Section 5G 4G LTE C-RAN/Fronthaul Gigabit Internet IPTV/Video Streaming IoT SDN/NFV Wi-Fi KT SK Telecom LG U+ Network Protocol Samsung  
 
Carrier-Neutral Data Centers are the Key to Lower WAN Costs
November 09, 2017 | By John Hardie @ Apcela
Online viewer:
Comments (0)
4

We are pleased to share with you all an interesting article contributed by John Hardie.

 
 

John Hardie

Entrepreneurial Sales Manager at Apcela

 

 

All Articles by John Hardie

 
     
  How to contribute your article to Netmanias.com !  
     
  List of Contributors  

 

 
     
 

Every year, the telecom industry invests hundreds of billions on network expansion, including $341B in 2016.  Not surprisingly, the outcome is predictable: bandwidth prices keep falling. 

 

As Telegeography reported, several factors accelerated this phenomenon in recent years. Major cloud providers like Google, Amazon, Microsoft and Facebook have altered the industry by building their own massive global fiber capacity while scaling back their purchases from telecom carriers.  These companies have simultaneously driven global fiber supply up and demand down.  Technology advances, like 100 Gbps bit rates, have also contributed to the persistent erosion of costs.

 

The result is bandwidth prices that have never been lower.  And the advent of Software-Defined networking (SD-WAN) makes it simpler than ever to prioritize traffic between costly private networks and cheaper Internet bandwidth.

 

This should be the best of times for enterprise network architects, right?  Not necessarily.

 

Many factors conspire against buyers who seek to lower costs for the corporate WAN, including:

  • Telecom contracts that are typically long-term and inflexible
     
  • Competition that is often limited to a handful of major carriers
     
  • Few choices for local access and Internet at corporate locations
     
  • Large effort required to change providers, meaning incumbents have all the leverage


In a sense, the largest telcos, companies like AT&T and Verizon, are trapped by their own high prices. Protecting their revenue base leads these companies to be reluctant adopters of SD-WAN and Internet-based solutions.

 

So how can organizations drive down spending on the corporate WAN, even while boosting performance?  

 

As with all markets, there is but one essential answer: Competition.  

 

The most competitive marketplaces for telecom services in the world are Carrier-Neutral Data Centers (CNDCs). Think about all the choices: long-haul networks; local access; Internet providers, storage, compute, SAAS, etc. CDNCs offer a buffet of networking options, and the carriers realize that competitors are just a cross connect away.

 

How much savings are available?  Enough to make it worthwhile for many large regional, national and global companies.  In one report, Forrester interviewed customers of Equinix, the largest retail colocation company, and found that they saved an average of 40% on bandwidth costs.

 

The key is to leverage CNDCs as regional network hubs, rather than the traditional model of hubbing connectivity out of internal corporate data centers.

 

The CNDCs like to remind the market that they offer much more than racks and power.  It’s true that these sites can offer performance benefits as well.  Internet connectivity is often superior. Many CNDCs offer private cloud gateways that improve latency and security.

 

But the savings alone should be enough to justify most deployments.

 
     
Thank you for visiting Netmanias! Please leave your comment if you have a question or suggestion.
banner

 

 

     
         
     

 

     
     

Subscribe FREE >>

Currently, 47,000+ subscribed to Netmanias.

  • You can get Netmanias Newsletter

    (New contents, Korea ICT News)

  • You can view all netmanias' contents

  • You can download all netmanias'

    contents in pdf file

     
     

 

     
         
     

 

 

 

 

     
         
     

 

     
     

KOREA ICT RESEARCH REPORT

SK Telecom's Massive IoT Deployment through LoRa for Small Things

 

 

SK Telecom commercialized the world’s first nationwide LoRa-based, IoT dedicated network in the end of June. This report will discuss how well SK Telecom is poised for the emerging IoST sector, and where it is heading.

 

     
     

 

     
         
     

 

     
         
     

 

     
     

How to contribute articles to Netmanias!

We always welcome contributed articles. Share your expertise and inspire others!

     
     

 

     
         
     

 

 

View All (724)
4.5G (1) 5G (65) AI (3) AR (1) ARP (3) AT&T (1) Akamai (1) Authentication (5) Big Data (2) C-RAN/Fronthaul (17) CDN (4) CPRI (4) Carrier Ethernet (3) China Mobile (2) Cloud (2) CoMP (6) Connected Car (4) DHCP (5) Ericsson (1) FTTH (6) GSLB (1) GiGAtopia (2) Gigabit Internet (19) Google (7) Google Global Cache (3) HLS (5) HSDPA (2) HTTP Adaptive Streaming (5) Handover (1) Huawei (1) IEEE 802.1 (1) IP Routing (7) IPTV (20) IoST (3) IoT (50) KT (40) Korea (18) Korea ICT Market (1) Korea ICT Service (13) Korea ICT Vendor (1) LG U+ (18) LTE (74) LTE-A (16) LTE-B (1) LTE-H (2) LTE-M (3) LTE-U (4) LoRa (7) MPTCP (3) MWC 2015 (8) NB-IoT (6) Netflix (2) Network Protocol (19) Network Slicing (4) New Radio (6) Nokia (1) OSPF (2) OTT (3) PCRF (1) QoS (3) RCS (3) SD-WAN (15) SDN/NFV (55) SK Broadband (2) SK Telecom (33) Samsung (5) Security (13) Self-Driving (1) Small Cell (2) Spectrum Sharing (2) Switching (6) TAU (2) UHD (5) VR (2) Video Streaming (12) VoLTE (8) VoWiFi (2) Wi-Fi (27) YouTube (6) eICIC (1) eMBMS (1) iBeacon (1) telecoin (1)
Password confirmation
Please enter your registered comment password.
Password