Worldwide service provider
CAPEX and revenue trends favorably support these Ethernet opportunities. Finally, it
is the undeniable service provider push to simplify their data networks toward an IP/
Ethernet over optical model, coupled with user/corporate demand for the lower cost per bit
with higher flexibility that Ethernet services offer, that propels these opportunities.
Ethernet, long supplied on personal computers for the home, business, government,
and colleges and universities, is naturally the basis for nearly all LANs, including over
98 percent of business LANs. This ubiquity has pressured carriers to use Ethernet in
their networks??”it is cost effective to deploy, and carrier customers like it and want
Ethernet services. Adopting Ethernet has substantial benefits for both sides.
Convenience is a driver: whereas upgrading the bandwidth of T1/E1/J1 connections
requires upgraded hardware at both carrier and customer sites, with inevitable delays
until everything is in place and tested, once a 10/100M or 10/100M and 1G connection is
in place, no other interface needs to be installed for the foreseeable future. Bandwidth
can be increased in hours or minutes through software, with many desirable outcomes
of better provider, operations efficiency, quickly satisfied customers, customer retention,
and lower equipment costs for everyone.
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