As long as networking of computers was confined to the local
area, the cost of connectivity (the physical layer or Layer 1 in the OSI model)
was insignificant (about 5% of the total network cost). However, with the advent
of enterprise-wise integrated information systems (IIS) such as various
enterprise resource planning systems (ERPs), and the consequent need for
continuous WAN computing, the cost of the physical layer or connectivity has
assumed significant proportions (almost 60-70% of the total network cost). It
has, therefore, become a matter of serious concern for all multi-locational
organizations (MLOs).
The most important aspect of networks designed for WAN computing
is the need for 100% security of the centralized or distributed databases linked
together by the WAN. There cannot and must not be any compromise on security.
Another point is that the operating cost of pure data or
computer connectivity is added to the cost of MLOs. To reduce this additional
cost burden, MLOs tend to take some risks, allured by competing offerings by
different ISPs. They apparently save some money in setting up and operating cost
of their pure data WANs by going along the VPN route, but at the risk of
impairing the security of their databases at different organization locations.
The VPN Route
Let us see how much money MLOs can save by taking the VPN route. Let us
assume that the data load impinged on the WAN at each location is 62.2 kbps.
This would be the load impinged by twenty-eight computers in each location
connected to the LAN with mail and FTP load of 0.22 kbps per computer, and
assuming that 25% of the computers will be simultaneously using the Remote
Access facility from each location. In the central location, the number of
computers may be assumed to be about 100. While the mail and FTP load from these
computers get impinged on the WAN, the Remote Access load does not get impinged
on the WAN, as the databases are in the same location.
How Secure is VPN?
In the P2P network, the leased lines are laid out from one company location
to another, bypassing all the public domain PSTN switches. Hence, no MLO
outsider can access the P2P leased lines and the network built with these. This
ensures 100% security from external intrusion.
In the VPN network, you will see that the router ports of your
VPN network has continuous physical access through the tier-1 IP switch
associated with the Core or Edge router at the Internet backbone node in the
city to all the public domain networks like the PSTN, ISDN, and broadband. Once
such access is available continuously, a professional hacker can break into your
network by cracking through the CUG (closed user group) code, which separates
your VPN from that of others and the public domain networks. This makes VPN
security vulnerable to hacking.
Hence, from both the cost and security angles, the P2P data
network appears to be superior to the VPN networks. In this context, it is,
therefore, unwise on the part of network planners to put their databases in
jeopardy by opting for the VPN WAN connectivity with a mistaken belief that it
is less expensive and guarantees security of databases.
In the above two examples, only pure data connectivity is
considered. Pure data network add to the present telecommunications costs of a
MLOs. Thus, if the present inter-locational telecom (telephony and fax) cost is
X, then the total cost of communications between MLO locations will be as under
for the two cases.
The availability of 24x7 point-to-point leased line connections
between MLO locations makes it possible to consider using this for all kinds of
inter-locational communications of the MLO-speech, fax, data (RA, FTP, Mail),
voice and voice-data conferencing, particularly if the X figure is large.
The Cost of Connectivity |
||||
S No |
Head of Cost |
VPN |
P2P |
Remarks |
1 |
Present cost of |
X |
X |
 |
2 |
Fixed annual operating |
21.1 |
19.3 |
 |
3 |
Total inter-locational |
X+21.1 |
X+19.3 |
P2P marginally cheaper |
Integration Approach
Integration of the three different modes of communication, speech, fax, and
data, have been attempted for almost fifteen years with varying degrees of
success with the advent of digital leased lines. The first was fixed channel
multiplexing (FCM) where channels were dedicated for speech, fax, and data.
While this worked well the users felt that when any of the channels were not
being used, the bandwidth associated was being wasted. The next development was
adaptable bandwidth multiplexing (ABM) where the multiplexer allowed the use of
one channel bandwidth currently unused by another channel to increase the latter's
bandwidth and consequently throughput. While this method eliminated the problem
of wasted bandwidth, it brought with it the problem of inter-channel
interference. If voice was given priority, the data call would drop or slow down
the moment a voice call was initiated. If data was given priority, the voice
call would drop as soon as a data call was initiated. The next development was
to digitize the voice and send the voice packets continuously in queue with the
data packets through the WAN to the intended destination. To send the
originating packets to the desired destination and to receive back the response
packets to the telephone which initiated the call, it is necessary to break the
digitized speech into small core packets and add a header carrying the address
of the destination location, the telephone trunk it has seized, the number of
the telephone called. Similarly, the originating address will have to be given
in the form of a tail packet. This additional information of header and tail
packets increases the bandwidth requirement in VoIP. Typically to set up a
single voice call using VoIP, the bandwidth consumed will be 60 kbps (toll
quality) or 36/40 KBPS (near toll quality). Thus, while VoIP eliminated the
problem of wasted bandwidth of FCM, and inter-channel interference of ABM, it
brought with it a new problem of increased bandwidth requirement. In today's
telecom scenario, more bandwidth means more cost. Thus, the advantage that could
accrue in reducing communication costs through integration of speech, fax, and
data over P2P leased line networks, gets nullified by the increased bandwidth
requirement. The quality of speech is also not up to the mark and in many cases
where VoIP has been implemented people tend to use the circuit switched public
telephone network or their mobile phones in preference to the available VoIP
phone.
The cost details of an |
||||
Nos in Rs lakh |
||||
Head of Expense |
VPN Network |
P2P Network |
PVDTN Network |
Remarks |
Annual leased line |
5.5 |
16.1 |
24.3 |
Leased lines on PVDTN |
ISP Port charges |
10.8 |
NA |
NA |
Leased lines terminate |
Total payout per annum to |
16.3 |
16.1 |
24.3 |
PVDTN takes care of |
Cost of leased line |
7.9 |
2.6 |
0 |
Since all lines used in |
Cost of routers |
9.4 |
15.7 |
15.7 |
In the P2P data network |
Cost of channel splitters |
NA |
NA |
58.7 |
This component is not |
Cost of EPAXs with |
NA |
NA |
20.5 Â |
This components is not |
Cost of Fax machines |
NA |
NA |
2.90 |
-do- |
Cost of cabling for |
NA |
NA |
11.00 |
-do- |
Total cost of network |
17.3 |
18.0 |
108.6 |
For PVDTN this includes |
Total set-up cost |
5.3 |
11.5 |
23.0 |
More number of components |
Total Capex for network |
22.6 |
29.5 |
131.6 |
For PVDTN, this includes |
Cost of firewall at each |
40.0 |
NA |
NA |
P2P/PVDTN networks are |
Total network component |
62.6 |
29.5 |
131.6 |
 |
AMC |
4.8 |
3.2 |
11.0 |
PVDTN has more |
Fixed annual operating |
21.1 |
19.3 |
35.3 |
In PVDTN this cost takes |
Mail and file servers and |
23.6 |
23.6 |
23.6 |
This is essential for the |
NMS software and hardware |
14.8 |
14.8 |
15.5 |
PVDTN has more number of |
Total cost of setting up |
86.6 |
53.0 |
155.2 |
 |
Total cost of setting up |
101.4 |
67.9 |
170.7 |
 |
Cost of inter-locational |
X |
X |
Included in total PVDTN |
This is carried out over |
Cost of inter-locational |
21.1 |
19.3 |
-do- |
Fixed datacom cost in VPN/P2P |
Total cost of |
X + 21.1 |
X + 19.3 |
35.3 |
PVDTN has fixed operating |
Operating cost savings |
NA |
1.8 |
X-14.1 |
 |
Operating cost savings |
-1.8 |
NA |
X-16.0 |
 |
Number and type of leased |
18—64 kbps 2—768 kbps |
6—64 kbps 8—128 kbps |
6—128 kbps 8—192 kbps |
PVDTN bandwidths are |
Note: The set-up and operating cost of an integrated network for our sample 10-location. Pure data networks have been shown along side to give an idea of comparative costs, and the additional equipment required over pure data networks. |
It is a well-established fact that for any real time
communication like speech, fax, video, a synchronous communication link is
ideal. This is best achieved through circuit switching. It is also a
well-established fact that an asynchronous communication link is ideal for heavy
data traffic, and is extensively used for IP data networks like the Internet.
Extensive research over the last 17 years has produced a
networking system, which uses circuit switching (for speech and fax
communications) and packet switching (for data communications) using channel
splitters at either end of a digital leased line. An EPAX converts the circuit
switched trunks into universal channels, which may be used for speech, fax, and
data alternately. There is, therefore, no wasted bandwidth. Further, the channel
splitters act like fixed channel multiplexers, and therefore there is no
inter-channel interference. The system also uses analogue circuits to bring data
from low data volume locations like residences, guest houses, small offices, etc
by terminating these into E&M trunks or long line extensions on the EPAXs,
and leading this to the IP data network through analogue extensions, high speed
dial-up modems, and multiple serial port cards sitting the PCI slots of any
server connected to the LAN. The universal channels have individual channel
bandwidths of 12.8 kpbs, and since circuit switching I involved, no head and
tail packets are required. Thus, the bandwidth required for speech and fax
integration is not very large, and total operating cost of these networks is
such that considerable savings can be affected in the MLOs total present telecom
and datacom costs.
Any network will be used only if it is easy to use and easy to
access. Thus, all people who need to speak to people in other locations
frequently must have a NET telephone. These are simple analogue phones costing
Rs 600-1000 and not as expensive as the IP phones, which cost around Rs 10,000
each. Thus, they may be given to all people who need to speak to other
locations. Similarly, the NET fax machines should be located in such a location
that those who need to use it frequently do not have to walk long distances.
In our 10-location MLO, let us assume that, at central location,
fifty people will need NET phones and the building is large enough to warrant
ten NET fax machines for ease of access.
Using these and the earlier computer numbers, we have designed
an integrated voice/fax/data network.
Pankaj Mitra
vadmail@cybermedia.co.in
The author is the MD at MIDAS Automation and Telecommunications