FEATURE
How to determine whether a leased line is right for your business
By Nolan Braterman, Frontier Voice and Data
As broadband speeds increase, the price of leased lines has decreased. As a result, leased lines are now becoming a more accessible and affordable way for businesses to gain connectivity. A leased line is a permanent network connection between two
points, typically being the local telephone exchange (also known as the PoP – the Internet Service Providers Point of Presence) and a company’s premises. They are commonly described as an ‘uncontended service’, meaning that the connection is completely dedicated to you. Although the price has fallen, they’re still slightly more expensive
when compared to other forms of connectivity. Whether or not your business chooses to opt for leased lines really does depend on three main factors: • Users: Start by counting how many employees will need to access your company’s network (i.e. email or shared documents/storage). A leased line is usually recommended for organisations with 20+ users in order to give them an improved user experience.
• Internet Usage: If your user count is below 20, a leased line may still be a good idea if your internet usage is high. If this doesn’t stretch to more than general internet browsing, sending emails or uploading images, then it’s likely a fibre broadband would be a suitable option. Leased lines would be fit for purpose if you use high bandwidth applications such as video conferencing or have employees accessing your network from various locations, i.e. remote workers or multiple offices.
• Back-up Plan: Finally, it’s worth asking yourself what would happen to your business if the internet connection was to fail. If your business would lose money, it’s highly recommended that you opt for a leased line as it should come with Service Level Agreements (SLAs) and Service Level Guarantees (SLGs). Other connections such as ADSL do not come with these and as a result, leased line problems are usually fixed quicker than ADSL ones.
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www.isopps.com Nolan Braterman Then there is the issue of price; as mentioned previously,
the cost of having a leased line isn’t as expensive as it once was. This has been driven by increasing availability of FTTC (Fibre to the Cabinet). Therefore, if you signed-up for a leased line 3-5 years ago, it’s worth checking the current price for a comparison – you may well find you can get a cheaper deal elsewhere or by renegotiating with your current supplier. Equally if you previously rejected leased line on grounds of price – take another look. The cost of a leased line is usually calculated using the following factors: • Location: If you have multiple sites using the same provider at each may prove more expensive as the price is driven by the distance the provider is from their building. So, the same provider might be near to one and further away from another.
• Competition: With the growth of dark fibre there are many new providers, especially in city centres, so it is worth talking to a supplier that works with a wide range of potential networks to ensure the best search of the market takes place. In rural locations there will be fewer suppliers and possibly less competitive rates.
• Bandwidth: Of course, the more bandwidth you require the higher the cost. Some suppliers will have deals on certain speeds so it’s worth asking for a variation of speeds on your quotation.
• Technology: Leased lines would traditionally be provided using fibre optical cable, however there are new technologies which are changing this. EFM (Ethernet in the First Mile) and GEA (General Ethernet Access) are newer options which provide the same service at a smaller cost.
Once you’ve addressed these points, next look at the overall advantages of opting for a leased line in comparison to other broadband connections. Here are some examples:
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