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ENTERPRISE SERVICES CONNECTIVITY: More Service Per Service

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VoicenData Bureau
New Update

The enterprise connectivity scene in India has changed quite a bit in the

last one year. Competition and the emergence of a variety of technologies have

changed the rules of the game. Here is more on the new landscape.

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Technology Options

Terrestrial Data



l
 IP VPNs: It is the hottest WAN technology today. IP VPN is

"an emulation of a private wide-area network (WAN) using IP facilities,

including the public Internet or private IP backbone". From this

definition, it follows that an IP VPN could either be CPE-based or

network-based. A VPN can be built on any of the layer-2 technologies, including

frame relay (FR); however, that would just be a VPN rather than an IP-based VPN.

The primary advantages offered by IP VPN are based on two parameters-first, IP

VPN is a connectionless service in contrast to the layer-2 ATM and frame relay

services, and second, IP VPN is a ubiquitous (any-to-any) service in contrast to

point-to-point inherent feature of the ATM/FR service.

IP VPN services are recognized as the next evolutionary step for corporates

that are currently using the more expensive FR or ATM VPN services, private line

services or the public Internet for their connectivity needs. Also IP VPNs are

expected to increasingly replace CPE-based VPNs as these services offer more

security than the Internet, cost-effective any-to-any connectivity, and the

capability to carry multiple types of traffic for customers who want an

integrated network solution. According to a recently released report on IP VPNs

by In-Stat/MDR, a major driver for uptake of IP VPN services was found to be the

increasing momentum towards convergence of voice, data, and video traffic on a

network-based IP VPN service. IP VPN also has the ability to offer more

innovative offerings such as SSL remote access, Wi-Fi hotspot VPN access, and

multicasting over VPN services. Event though such services are not available in

India as of now, most services providers are expected to offer them soon.

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Two unique complementary VPN architectures based on IP security (IPSec) and

multiprotocol label switching (MPLS) technologies are emerging. IPSec-based VPNs

are very popular among all service providers. On the other hand MPLS-based VPNs

are used for more sophisticated and manageable networks capable of supporting

transparent application support across diverse platforms. Using VPN network one

can run applications like e-commerce, application hosting, and multimedia

applications that will enable service providers to generate new incremental

revenue and maintain long-term competitive advantage.

MPLS is a high-performance packet forwarding technology that integrates the

performance and traffic management capabilities of data-link layer (Layer 2)

switching with the scalability, flexibility, and performance of network-layer

(Layer 3) routing. It enables to meet challenges brought about by explosive

growth and provides the opportunity for differentiated services without

necessitating the sacrifice of existing infrastructure.

Some of the features of MPLS are: data can be transferred over any

combination of Layer 2 technologies; support is offered for all Layer 3

protocols; and scaling is possible well beyond anything offered in today's

networks.

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Legacy Technologies



l
 Asynchronous Transfer Mode (ATM): The world's most widely

deployed backbone technology, ATM is a standards-based transport medium that is

widely used within the core-at the access and in the edge of

telecommunications systems-to send data, video and voice at ultra high speeds.

It can be used to send data, video and voice at ultra high speeds. ATM

connectivity offers high quality of service (QoS), and network efficiency.

It provides a common technology platform onto which multiple

service types can converge with distinctive and quantitative QoS guarantees.

Today, ATM scales form T-1 to OC-48 at speeds that average 2.5 GB in operation,

10 GB in limited use and spanning up to 40 GB in trials. However, ATM is now

losing out to MPLS as the preferred enterprise WAN connectivity technology

because of its superior cost and performance advantages.

l Frame Relay:

This is a form of statistical multiplexing, a method of dynamically

allocating transmission bandwidth to more efficiently share the high-cost links.

In this way, a single local access line can support connections to many remote

sites.

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MPLS-based

VPNs vs IP Sec based VPN
MPLS-based

VPN
IPSec-based

VPN
Capable

of supporting tens of thousands VPN groups over the same network

since no site-to-site peering is required  
It

supports large-scale deployment but requires proper planning and

coordination
Capable

of supporting QoS and traffic engineering
Does

not support QoS and traffic engineering
Bandwidth

utilization can be fully controlled
Bandwidth

utilization can not be fully controlled
MPLS

VPNs vs Frame and ATM VPNs
MPLS

VPNs
Frame

Relay and ATM VPNs
Connect

sites in a mesh or web
Point-to-point

technologies that are usually deployed in a hub-and-spoke

architecture
Better

technology for large companies who are scattered over several

locations. Ideal for growing companies as new sites can be added

easily
Good

for small enterprises concentrated in one location
Provides

better resiliency than traditional data services. Uses bandwidth

more efficiently
Bandwidth

utilization not that effective

Traditionally, it has been used for bursty LAN and WAN

traffic. With the development of frame relay quality of service, FR is also well

suited for delay-sensitive traffic such as voice, video conferencing and

interactive applications. But, as with ATM, FR too is now losing out to MPLS.

l IPLC: It's

a TDM circuit switch used for point-to-point international connectivity. It

offers a throughput of 64 Kbps and multiples. IPLC can be provided through

submarine cables, satellite or through a mix of both.

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Indian operators like VSNL, Data Access, and Bharti provide

the Indian side of IPLC while the other half (in the country of destination) is

taken care of by the tier 1 operators of that country. And since IPLCs connect

two half circuits of two different carriers, providers often play the buck

passing game whenever there is a problem.

Satellite Data



l VSATs: Written off many

times because of growing ubiquity of terrestrial data networks and solutions and

also because of their capex in deployment, VSATs services are still a good bet

for enterprises looking at reliability and dedicated bandwidth. Also, VSATs are

the most effective backup to terrestrial data services. VSATs are easy to

install, can be deployed fast and serve even the most remote of locations.

Moreover, in recent times with equipment and running costs going downwards, they

have become more affordable to small and medium businesses.

While satellites have become more powerful on one hand, on the other, VSAT

technology has become more standardized offering hitherto unavailable cost and

performance advantages.

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VSATs are today more superior indoor units with compact, ASIC design and work

as full-fledged routers with 10/100 Mbps ports, routing support, serial and

Ethernet ports, SNMP, DHCP, QoS and filtering. Moreover, there has been a

movement towards more standardization in technologies with DVB-S emerging as the

standard for downlink channel; and IPoS, DVB-RCS and DOCSIS for the return

channel.

IP

VPN Services
Advantages Growth

Drivers
Growth

Inhibitors
Value-added

services and applications
Total

cost of ownership
Alternate

services
Fully

meshed topologies
Broadband

access
Negative

IP perceptions
Ease

of adding/removing sites
Faster

deployment
QoS

and SLA concerns
Service

outsourcing
Expanding

WAN market
 

Source: Frost

& Sullivan

Also, use of Ku band as the de facto frequency band for VSATc communications

offers new cost and performance advantage. Also with government allowing the use

of smaller dishes (1.2 m for Ext-C Star and 1 m for Ku Star; 2.4 m for Ext-C

Mesh), users would not need to spend nights on rooftops, as VSAT equipment can

now be installed indoors. Overall, VSATs have become smarter and more powerful

networking and telecom devices.

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Access Technologies



l DSL: Good for small

businesses, DSL utilizes standard telephone lines to move data at higher speeds.

The service works best for users who live within three-and-a-half miles from the

telephone company's central office or where the DSL equipment is located-the

more the subscriber is closer to the central office, the better the speed that

he gets. And even if subscribers were further than the prescribed distance from

the central office, they would get a far better speed than through a dial-up or

a cable modem. This is because DSL is rate adaptive, that is, it adapts the

communication speed to the user's modem and distance from the service provider's

point-of-presence. In fact, Rate Adaptive DSL is being touted as the best bet

for residential broadband as it provides maximum bi-directional bandwidth from a

DSL circuit. Subscribers get a single secure line that directly connects to the

service provider and users get dedicated bandwidth, as the line is not shared

with any other user. All DSL technologies exploit the available spectrum in

copper telephone lines, employing advanced modulation techniques to carry

high-speed data transmissions. The basic differences among the DSL technologies

(IDSL, SDSL, HDSL, ADSL, and VDSL) lie in their communication speed, operating

distance, and suitable applications. Apart from using the existing copper lines,

all DSL technologies offer certain other benefits like partitioning voice and

data traffic.

Connectivity

in India
Enterprise

connectivity scenario in India today is pretty much different from

what it was even a year ago. With the "take it or leave

it" days of the monopoly era almost over now and competition

getting fierce with each passing day enterprises can talk to

operators from position of strength. In other words, they can drive

some hard bargains to their advantage in terms of cost of service,

quality of service, customer care and service level agreements (SLAs).
Moreover,

as there are more choices available in terms of technologies,

enterprises can go for a mix of connectivity options in order to

drive both cost and performance advantages. The days of vanilla

connectivity are over. Enterprises can bargain hard for customized

solutions that suit their requirements instead of solutions designed

by service providers.

l Leased Lines: Leased

line provides corporates a clear channel bandwidth of 64 kbps and its multiples.

These circuits can be used for point-to-point leased line, inter-office

connectivity, wide area connectivity, and local loop access to ISPs. E1 link is

ideal for large corporates, which require a large number of telephone lines.

This is a 2 Mbps link that can carry voice or data channels.

l ISDN: Corporates opting

for ISDN get two channels that can be used for voice or data. They can use these

channels for high-speed Internet access and video-conferencing. ISDN is

available in two variants- basic rate interface (BRI) and primary rate

interface (PRI). Basic rate ISDN divides the telephone line into three digital

channels-two B channels and one D channel. The two B channels are used for

voice, data or video at rates of 64 kbps. The D channel is used for control and

signaling. The main advantage of ISDN is that one can access the Internet on one

channel and make or receive voice calls on the other. PRI divides the telephone

lines into 30 B channels and one D channel, which can be used simultaneously.

Voice



l Managed Voice over IP:

If an enterprise spends too much on intra-office long distance calls, it can go

for managed voice over IP services. With IP as the underlying technology, VoIP

offers great cost advantages even in these times of decreasing long distance

costs.

Apart from costs, VoIP also offers benefits in terms of features and

scalability. In managed VoIP, while the customer premises equipment is owned by

the user enterprise, the IP link is managed by the operator who guarantees

quality of service and network uptime.

l Centrex: Centrex or

central office exchange service is a flexible communication tool designed for

all types of corporates. It offers the benefits of an EPABX without the

corporate investing in it. Since the main switch provides this facility, there

is no need for the user to worry about its maintenance, upgradation or

obsolescence.

Using

VSATs Effectively
l VSATs

should be used for applications that have low TCP handshakes due to

satellite latency
l Use

multicasting applications like file broadcast, video streaming,

corporate training, and data broadcast
l Use

thin route VSATs for bursty traffic like ATM, POS, Lottery, Extended

ERP and Internet applications
l Use

it as a complementary backup to a primary terrestrial link-it

offers more redundancy than ISDN
l Fine-tune

applications to minimize handshaking, to limit impact of latency of

500 ms
l Use

the VSAT indoor unit as a router and save on router costs-as it

has sync serial and Ethernet ports, supports routing, SNMP,

filtering, spoofing, compression, and DHCP functionality

Corporates opting for centrex can also use it through interactive voice

response (IVR). It supports value-added services like call transfer; call

pick-up, auto call back, and direct inward dialing (DID). Centrex includes DID

facility on each line and can be optionally integrated with the existing EPABX

systems. BSNL is offering centrex service in India.

Buying Tips

l Experience of the Service

Provider:
Look at the experience of the service provider to find out if it

has got the right kind of network service approach. Experience can be evaluated

on three points-types of customer requirements fulfilled, kind of service or

connectivity solutions offered and network management expertise.

l Robustness, Reliability, and

Redundancy:
Robustness is indicative of the lead-time for accommodating

customer requests, or, how easily and transparently the back-up link takes over

if the primary link fails.

Reliability stands for the availability of the network at all times.

Redundancy means what part of the network is



covered with backup and contingencies and what is the uptime that is guaranteed.
The real test of the network will depend on the degree of support provided on

all these three fronts.

l Hybrid Network Solutions:

In case you have a large network spread across many regions, you should go for a

hybrid connectivity solution made of terrestrial and satellite technologies that

can compliment each other.

l End-to-End Responsibility:

Make sure that your service provider takes the responsibility of whatever

happens on the network subscribed by you. Many service providers often

compliment their network infrastructure from other



providers.

Often such an arrangement becomes an excuse for service providers for passing

the buck on problems on the network to other network operators or service

providers.

This is especially true of private operators who have been using MTNL or BSNL

networks in different parts of the country in order to compliment their own.

These operators often blame MTNL or BSNL for problems on the network.

l Proactive Network

Management:
Your service provider must offer a proactive network management

on an end-to-end basis. Network quality of service and performance reports

should be generated on a weekly, fortnightly or monthly basis.

l Service-level Agreement (SLA):

Always insist on a SLA that has a penalty clause built in. The penalty for

network downtime should be linked directly to loss of business because of the

downtime. Do not always insist on a cash penalty, you can ask for free service

equivalent to the downtime. SLA performance should be monitored on a monthly or

quarterly basis.

l Periodic Revision of

Contracts:
Even when you go for long term arrangements with service

providers because of factors like pricing, make sure that the contract between

you and your service provider is subjected to period review at least on a

six-monthly basis.

Service Providers

International

Connectivity Providers

l

VSNL

(Tata Indicom)
l

Bharti

Infotel
l

Data

Access
l

AT&T
l

Asia

Netcom
l

Cable

& Wireless
l

Equant
l

ETT
l

PCCW
l

Sprint
l

Singtel
l

XATMI

National

Connectivity Providers

l

BSNL
l

Tata

Indicom
l

Bharti

Infotel
l

Hutch

(only GPRS-based data connectivity)
l

Idea

(only GPRS-based data connectivity)

Regional

Connectivity Providers

l

MTNL

(only in Delhi and Mumbai)
l

Shyam

Telelink (only in Rajasthan)
l

HFCL

Infotel (only in Punjab and Chandigarh)

Satellite

Connectivity Providers

l

Bharti

Infotel
l

Comsat

Max
l

HCL

Comnet
l

HECL

Managed Service

Providers

l

Dishnet
l

Sify
*Comsat

Max, HCL Comnet and HECL also provide managed data services using

terrestrial networks of telecom carriers
*BSNL,

Tata Indicom, and Bharti Infotel also provide managed services

Such a provision can be effective in keeping the service provider on its toes

and also place you on a better bargaining position vis-à-vis changes in the

market condition like price drops, advent of new technology etc.

l Customer References: Always

ask for customer references. Insist on a complete list of the service providers'

customer. You can then do a random check with them to find out how good is the

promise that the service provider is making to you.

EXPERTS

PANEL
Arup

Chakraborty,
GM, network services, HCL Comnet
Rajiv

Sharma,
CEO, Bharti Infotel
Rahul

Swarup,
president, enterprise solutions, Sify
Shivaji

Chatterjee,
senior director, sales and marketing, HECL
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