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Costs and deployment issues for entering the Metro Ethernet market

Many experts today feel that Metro Ethernet is an ideal 'universal infrastructure" for network service providers who are looking to compete in residential or business markets - or both. Much attention is given to the fact that Metro Ethernet is in demand by customers, because of its standard interfaces and seamless LAN extension. But Metro Ethernet is equally compelling in the way it can let service providers cost-efficiently and rapidly build out next-generation network infrastructure.

Metro Ethernet delivers extremely high levels of deployment flexibility, adapting easily to existing dark fibre, SDH networks, or built on a high performance Multi-protocol Label Switching backbone. MPLS has the advantage of supporting flexible layer 2 VPNs that can scale to include a very large number of virtual LANs, sites and end devices. Because MPLS logically isolates traffic streams on the service provider backbone, it brings a level of traffic control, quality of service, and security that is not possible with conventional IP networks. MPLS VPNs are simpler to deploy than IP-based layer 3 VPNs and considerably more scalable and sophisticated than 802.1q based layer 2 VLANs. In addition to its layer 2 strengths, MPLS is also an ideal platform for the full range of commercial IP applications and routing architectures.

Cost advantages

The cost advantages of Metro Ethernet are one of the most remarkable aspects of this technology. For instance, standards-based Ethernet equipment can cost as much as 10 times less than SONET/SDH devices.

Beyond equipment costs, the simplicity of provisioning Metro Ethernet means that staffing and operating costs are also lowered. Because it is largely controlled via software management, Metro Ethernet can eliminate much of the complexity and time-consuming re-configurations that ATM, frame and circuits network requirements. Metro Ethernet software provisioning is a key aspect to how Metro Ethernet reduces ongoing operational costs in the service provider network.

Because it is a data service, Metro Ethernet fits seamlessly into service provider portfolios without the complex regulatory issues associated with 'pure" telecom services. In general, Metro Ethernet seems to be an unstoppable force in the WAN arena. Infonetics Research predicts that Metro Ethernet ports will grow from 750,000 in 2002 to 3.3 million in 2006, worldwide. Network architects and planners increasingly believe that Metro Ethernet is well on its way to becoming the de facto standard for metro connectivity.







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