TITLE

Metro Ethernet Offers Opex Gains

AUTHOR(S)
Southwell, Gary
PUB. DATE
July 2004
SOURCE
Business Communications Review;Jul2004, Vol. 34 Issue 7, p40
SOURCE TYPE
Trade Publication
DOC. TYPE
Article
ABSTRACT
The article focuses on the ethernet services. Much work has been done on developing private-line Ethernet services with strong service level agreements (SLAs) that allow service providers to charge premiums and generate revenue. Widespread adoption means that the services provide higher value than the alternative for the end user, and a profit advantage for the provider. To the end user, the value is typically understood in a dramatically lower cost per bit. To the provider, the total cost of ownership has to be lower than the alternative. Ethernet service additions can be as simple as physically connecting another port without making any hardware equipment changes, and provisioning the circuit remotely. While Ethernet still faces a learning curve as well as capital cost hurdle on the OAM front, these up-front costs can be made up fairly quickly. Ethernet equipment also takes time to be adopted into a network. Most service providers have a large installed base of legacy equipment serving existing customers.
ACCESSION #
13771401

 

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