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So Ethernet (access44) ultimately contributes to lowering the operational expenditure for the enterprise Further, Ethernet, true to its historical form, continues to evolve to make it even more acceptable as an access mechanism Numerous standards are emerging to address the specific challenges of delivering Ethernet in the MAN and WAN; some like the IEEE 8023ah Ethernet in the First Mile (EFM) have already been ratified (discussed later in chapter 2) Enterprises are well aware of the evolution of Ethernet in the LAN and the consequent benefits in terms of price/performance over the last three decades They are comfortable that Ethernet in its new role in the MANs and WANs as well
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Bandwidth Scalability and Flexibility Ethernet LANs commonly operate anywhere from 1M to 1000M, usually tending toward the higher speeds because of the relatively minor increase45 in the cost of these interfaces and the substantially lowered cost per bit(Considering the cost of a 1000M interface is typically about two to three times that of a 100M port, this means that the cost per bit using a 1000M port instead of a 100M port would be reduced by 70 percent46) Multimedia applications (such as video conferencing and real-time backup) in the LAN are also bandwidth intensive and are, in fact, requiring higher speed LANs However, when the traffic originating in the LAN is expected to terminate outside the LAN and across the Service Provider s telecommunications infrastructure, this usually means the traffic is severely throttled Consider a simple example, wherein some large files need to be transferred from one enterprise office location to another across the city; let s assume the LANs at either location are operating at 10M and the enterprise has subscribed to a T-1 private line (a very reasonable scenario) This means that the LAN file traffic is subjected to a significant (over 80 percent) reduction in speed, which is akin to traffic on a six-lane highway suddenly having to converge into one lane; naturally, one should expect a severe traffic-jam!47 One obvious solution to the problem of using TDM, Frame Relay, or ATM infrastructure/ services is to use higher bandwidth, but this is not a highly efficient solution Consider the bandwidth/speed hierarchy for SONET/TDM services that is typically available in the access It is a step function, similar to that shown in the Figure 113, with a very inefficient profile Let s assume a scenario wherein an enterprise customer who has subscribed to 155M of bandwidth (OC-3) realizes some time later (say, 48 months) that 500M of access bandwidth capacity is required to meet the growing needs of the enterprise (It is also assumed that the enterprise will need 622M of capacity some
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Note Ethernet access is the service here; just a connectivity service that entails a single physical Ethernet connection 45 In fact, most devices have a Network Interface Card operating at 10/100M, ie, either at 10 or 100 46 If 100M costs $X, then 1000M costs cost roughly three times $X; cost per bit using 100M = $X/100M, using 1000M = 3 $X/1000M = 03X (cost per bit using 100M) 47 Admittedly, though, this may not be as severe because of the nature of data traffic, which typically has only some peaks interspersed with more modest traffic demands
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Ethernet: From LAN to the WAN
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Inefficiencies for both Service Provider and Customer Ethernet Bandwidth Availability 48 SONET/TDM/ATM Bandwidth Availability
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0 500M
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Bandwidth Price Scenario (per month): OC-3: $2500 OC-12: $5000 500M: $3000 OC-12 Bandwidth OC-48
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DS-1 Not to Scale
DS-3
OC-3
A Conservative Scenario: Customer with 155M wants 500M at month 48 and 622M at month 60 A lose-lose OUTCOME: 1 Customer purchases OC-12 at month 48, Wastes: ($5000 $3000) 12 = $24000 2 Customer defers purchase of OC-12 until month 60: SP loses potential revenues: ($3000 $2500) 12 = $6000
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