AV Technology - October 2008 - (Page 24)

business MERGING THE OLD & NEW Many organizations that use IP for videoconferencing still need to use ISDN for certain internal communications or to conduct video calls with other companies. Wainhouse Research’s Ira Weinstein suggests a “hybrid model” where IP and ISDN are simultaneously available throughout the organization. In this model, ISDN lines are centralized via a gateway, which connects to IP on one side and to ISDN on the other side. “Typically, IP would be used for internal collaboration, with ISDN used for communication with external entities and/or communication with smaller branches where sufficient IP bandwidth may not be available or cost-effective,” Weinstein says. For IP to IP video calls with other organizations outside the enterprise’s private network (which a firewall would normally block), Weinstein suggests the use of a session border controller (labeled SBC in the diagram). These devices enable IP video traffic to traverse the enterprise firewall without compromising network security. many networks. QoS allows an organization to prioritize real-time traffic over more forgiving, non-real-time traffic, like email and web browsing.” According to Weinstein, most MPLS providers now offer a number of different QoS options at varying price points. The volume you’ll be buying also plays a huge role in the price you’ll pay for bandwidth, says Dr. Mike Jude, research analyst at Nemertes Research. “If you’re willing to buy bandwidth in large quantities, you tend to get a discount per bit,” says Jude. One way to drive your costs down is to consolidate your traffic so you can buy a larger pipe. “For example, a group of school districts could get together and negotiate as a single entity with carriers. If they can guarantee a certain level of service with that carrier, they will get better pricing,” he says. The second way is to negotiate with multiple vendors, Jude suggests. “You can play the rates of one carrier against the rates of the other and get some advantageous pricing. Carriers are fiercely competitive; if you are willing to sign contracts for extended periods of time, you can build into those contracts options to renegotiate your pricing at periodic intervals, which will get you a better price up front.” Jude says another option is to leave the negotiating to someone else by using a “bandwidth manager” — a company that does not physically own any networks but purchases bandwidth in bulk from a number of vendors. A bandwidth manager is useful if you want route diversity — an important factor for enterprises that want quick disaster recovery, data security, etc. If one carrier’s service slips, the bandwidth manager switches your service to a different carrier. If you are lucky enough to own a right of way (a physical location where fiber or other lines can be run), you have yet another option for reducing your bandwidth costs. “Some enterprises such as railroads who have extensive rights of way have planted fiber along those paths, and they can lease that fiber in exchange for service,” Jude says. Some universities also have rights of way and access to spectrum that can give them bargaining power. “We know of one university that has some spectrum that they are allowing Verizon to use, and Verizon is in turn offering them discounts for both spectrum and wired access,” says Jude. Network costs can be considerable, and CFOs always want to see justification for expenses. Wainhouse’s Weinstein urges planning. “Enterprises should evaluate their network traffic and QoS requirements and purchase the appropriate network services,” he says, but notes that the benefits of the network go beyond the numbers on the books. “Bandwidth is the circulatory system of the organization, and yes, it costs money,” Weinstein says. “However, people need to realize that the network empowers productivity. Network-centric applications such as videoconferencing save time and money while increasing efficiency. For example, by using videoconferencing, a salesperson can meet with five significant clients in one day without leaving the office. Imagine the impact this would have on the bottom line. Similarly, senior managers in different locations can conduct face-to-face interviews with a job candidate over a single day without the hassle and expense of business travel. The result is that a four-week hiring cycle becomes only a few days. Imagine the benefit of enabling your global R&D team to meet face-to-face on a daily basis while working on a new product? Equipment prices may change, and bandwidth costs may vary, but the overall value these systems bring to the organization is massive. That’s the real story.” ■ www.avtechnologyonline.com 24 | AVTECHNOLOGY | october 2008 http://www.avtechnologyonline.com

Table of Contents Feed for the Digital Edition of AV Technology - October 2008

AV Technology - October 2008 Contents Precedent Corporate: Residential AV Does Not Equal Commercial AV Government: Funding Problems? Education: DIY ISP.EDU, Part Two The Cost of Bandwidth Star Grounding Wars Understanding IoIP How to Equip a Smart Classroom Two Rooms With A View From Primitive to Professional Product Review:�Visionary Solutions AVN 420 Encoder Product Spotlight: Document Cameras New Products Ad Index AV MO: Using Infrared Microphones

AV Technology - October 2008

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