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Why Are T1 Lines Still Expensive?

badfrog asks: "Over the last 10 years, DSL and cable modem has upped its speed (although in some instances only slightly) and dropped its price. However, the price of a T1 has stayed almost exactly the same. If you had asked me 10 years ago, I would have predicted any geek that wanted to would have fiber or their own T1 line to the house by now. What is with this sad state of affairs that a 'business class' 1.544Mbit connection is hundreds of dollars more than a 6Mbit cable connection? Is it a legitimate case that a high upload rate should increase cost so significantly?"

4 of 556 comments (clear)

  1. Why are vacuum tubes expensive? by Spazmania · · Score: 5, Interesting

    Vacuum tubes are expensive because its hard to make a vacuum tube that has any degree of reliability. The fact that transistors do the same job and cost dirt has little impact on the difficulty or cost of making vacuum tubes.

    T1s are expensive for the same reason. The 15 meg FiOS service at my house actually costs Verizon a lot less to build and maintain than the multiply repeated 1.5 meg T1 that preceeded it.

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  2. Re:What? by king-manic · · Score: 5, Interesting

    I work at a canadian telco and if I ever want to placate customers about prices I just quote them US high speed prices. They are ussually four times as expensive for the same service. ADSL 3.0 MB is 39.95 CND here with great up time and very low saturation. I get 300KB downloads almost all the time.

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  3. T1's by hackus · · Score: 5, Interesting

    Let me count the ways.....

    1) T1, down at 3AM saturday. No problem, people are working on it.

    Business class DSL: Bawahahahahaha...call who?
    Cable: We don't work weekends.

    2) Reliability. The infrastructure difference between DSL and Cable vs T1's are incredibly different.

    T1's are simple in comparison compared to a DSL or Cable infrastructure. Too many people and too many things that can go wrong.

    When I run a NAGIOS report for all my DSL lines and Cable lines and compare it to my T1 line over a complete 365 day interval:

    My T1 had one incident in July of last summer with a direct lightening strike, was down for 3 hours. Didn't even have to call anyone, they had people working on it Sunday evening, and I got a voice mail it would be up in about 3-5 hours.

    I have Sangoma cards in my Linux routers, and from what I can tell there was also a down/up event last year for about 1 second in my logs.

    DSL line: It has had over 20 down events which I would call momentary lapses, 13 outright drops for 30-40 minutes at a time, and 80-100 quality alerts that indicated dropped packets or packet loss. I have two NAGIOS servers too, one for monitoring the internal network and one to monitor the outside network.

    I made the NAGIOS box to monitor the ISP's so that I could tell if they were having an external or internal problem with thier networks.

    6 times I had to dial in and remotely login to the AC strip and dump the power to the DSL unit to reset it, which would then "fix" whatever it was that made it loose its marbles.

    One instance one of my facilities was down for almost 3 days, no DSL service. Something happened when SBC upgraded the line, as I asked SBC for a bandwidth increase. The SBC rep told me it was "standard practice" to change your IP address space with a line speed increase.

    WT? When I pointed out changing the static IP's without telling your customers could have adverse affects on businesses VPN links, I got the "Well, thats what we do." I prompted told them to put the service I had back in place, they couldn't. They erased the passwords on the DSL modem and didn't have them.

    They wanted me to drive 35 miles to a facility to put the password back into the modem.

    I promptly dropped the DSL service. It didn't bother me anyway as all my locations have cable and dsl, linked through a BGP topology.

    I also had the DSL modem replaced 8 times in the last 2 years at all 8 of my DSL/Cable facilities. The speedstream units suck arse. The netopia units are much better, but they still screw up once in awhile.

    I even update the firmware myself, doesn't seem to make any difference so I stopped doing that.

    Bottom Line: DSL saves money, it certainly does....but it isn't a 24x7 service, the customer service for business class sucks. For what you get with SBC business class cable its REALLY overpriced.

    In fact, I would not call SBC business class cable anything remotely associated with "business". Its a consumer line with static IP's.

    SBC can cackle all they want, but don't buy from them if your application needs anything but casual line use. It was so bad I had to buy cable as well so I could keep my facilities up 24x7.

    This isn't limited to just one facility. I have Linux BGP routers in 10 facilities spread out over 50 miles. Every SBC facility equipped DSL service has the same issues.

    Cable: Cable is better than DSL, only had 12 incidents. All of them related to the fact that the cable company keeps changing the signaling on the modems as the seasons go by. So, all 12 incidents were related to high packet loss due to bad signal. When they change the signaling to the cable modem, the line freaks, and they have to send a tech out to install a filter on the line. That must get REALLY expensive.

    Cable is better, but running a BGP topology with multiple redundant pathways presented problems with cable and DSL.

    For example, as our business grew ove

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  4. Re:Oh, come on! by Anonymous Coward · · Score: 5, Interesting

    You folks are getting close, but you're still missing it: T1 is for access to the *synchronous* backbone - very low jitter, no dropped bits, extremely stable bit rates. T1 is a *premium* communication medium left over from the days when the only way to get voice into digital format was PCM vocoding at 8kHz, and that bit stream had to be carried *perfectly* from one side of the network to the other (no buffering, no error correction, at least in the bad old days.) In addition, as a *telephone* service (make no mistake about that, it is telephone, not internet; that you can use it for internet access is irrelevant), the service providers are required by regulatory authorities to give you five-nines availability. You bet your ass T1 is still expensive! What we get on cable or DSL is like an all-you-can buffett at a greasy spoon - cheap, and with good reason, but if all you need is calories, it will do just fine. The real question is not why T1 is still expensive, but why the garbage we get for DSL and cable is so over-priced.