Distance Restrictions In Rural Applications - DSL vs T1

Here's a question often asked by those in rural areas needing dedicated bandwidth for their network applications.

"If someone wanted to have a T-1 line (or fractional T-1) installed in a very rural location, are they subject to the same distance restrictions as a DSL line is?"

The general answer is no. T1's do not have maximum distance "limitation" as does DSL. Network carriers can use multiple T1 repeaters to regenerate (not just amplify) the T1 signal.

However, 2 distance "sensitive" components can increase T1 cost.

First, the T1 access loop. Most local exchange carriers (LECs) (e.g., AT&T/SBC/BellSouth, Qwest and Verizon) charge the ISP for T1 access based on distance between the ISP's router (Internet POP) and the customer's local serving exchange (LEC Central Office.) That is why most ISP's T1 quote tools require the customers local phone number, or at least the 1st 6-digits (NPA-NXX) which identify the local CO exchange, in order to caculate the distance to the ISP's closest IP POP (Internet router).

Second, extrordinary construction costs. If the customer location is a great distance from the closest T1-equipped LEC central office, then the LEC must install additional T1 repeaters and possibly incur other transmission equipment / construction costs to reach the customer. In this case, the LEC has 2 options to deal with construction cost: either absorb cost themselves, or pass it on to the ISP who then pass it on to the end-user customer. I've been implementing T1s for awhile and have seen this situation a few times. Twice the one-time construction costs were $10-$20K and the customer canceled the order. Once, BellSouth had to trench ~200 feet to lay new cable and they absorbed this cost.

Assuming no extrordinary construction cost, there are ISPs that offer flat rate Internet T1s for $750 per month, anywhere in US, with no distance limitations between ISP POP and customer's serving CO. The flat rate cost includes T1 access loop and 1.5 Mbps Internet port. In the majority of cases these aren't always the most reliable providers when you consider long term stability, QoS, and SLA though.

However, for most locatons that are under 25 miles to the ISP POP, we are seeing Internet T1 prices in the general range of $300-$500 per month +/-.

The upside is that it's full speed in both directions, and not subject to the EULA restrictions that DSL lines are. Typically, ISP's don't want you running services behind a DSL line, no such problem with the T1.

Michael is the owner of FreedomFire Communications....including DS3-Bandwidth.com and Business-VoIP-Solution.com. Michael also authors Broadband Nation where you're always welcome to drop in and catch up on the latest BroadBand news, tips, insights, and ramblings for the masses.

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Building a Wireless ISP Network... The Opportunity

In the US, most of the people have one or more broadband access services to choose from - variations of DSL from multiple vendors and cable. That is if you're in a metropolitan area. For more rural locations your choices are limited.....if you have any at all. Therein lies an opportunity for those willing to pursue it.

In the rural areas of the country, the selection is limited. Satellite is available to anyone (at high cost), but between dial up and T1 there are no options for many residents. Satellite suffers from latency, making it unsuitable for VoIP and some other real time Internet services. Some applications that should not be sensitive to latency (email, Web forms) will perform poorly or fail due to the increased packet time.

The traditional carriers (RBOC) and resellers face a cost issue in bringing broadband service to outlying areas. Without a concentration of users the per user cost at published rates causes either a poor or negative margin. The way cost accounting is done in larger corporations makes the business case worse for a large carrier. Cost allocations between departments for such things as floor space, personnel, and backend support end up as added costs rather than leverage opportunities. Traditional wired service will not reach outlying residents unless mandated by law, and the trend is against this happening in the near future.

So the opportunity is open for a business offering Internet broadband access service to outlying residents.

Therein lies a tremendous opportunity.

Now....just how do you go about taking advantage of this opportunity, filling a need, and building a wireless ISP network?

To assist you with working through the planning and execution of this effort here are some insights and resources you should consider:

* Business Continuity Planning - This isn't the technical side of the business, the backup systems, redundant pathing, fail-over and restore, or alternate location stuff. Here you're looking at subjects such as Legal Structure, Personnel Insurance, Asset Insurance, and Process and Procedure.

* Revenue and Profit - Covers where and how to create your income including installation, basic monthly service, custom access service, volume or corporate pricing, other services, business partnerships, usage based service, civic service, and tower leasing (or you could build and provide your own).

* Security Issues - There's much to consider in this arena. Don't overlook it.

* Bandwidth issues - The access line to your tower(s) is likely the critical factor to success. Whether it's a T1 or a DS3 line. First off, it probably represents your single largest operational cost. Next, it determines the maximum quality of service you can provide.

Quotes you receive for bandwidth will probably be very different in terms of cost and performance guarantees, and should cover Performance Standards, Service Availability, Mean Time to Respond, Mean Time to Repair, Latency, Packet Loss, and Jitter. To help you search for the best match provider for your bandwidth requirements....I recommend utilizing the services of an unbiased independent broker by submitting a RFQ request to DS3-Bandwidth.com.

Here are some additional resources that may be of benefit to those developing a WISP....or thinking of it.

StartAWisp.com

WISP Centric

There's also an excellent forum for discussion of ideas and issues between WISP owners and potential developers at DSLReports.com.

Final advice.....think strategically taking care to consider the business areas hilighted above. Do make use of an independent unbiased broker for the bandwidth decsion. Also, apply the resources shared here as well as any others discovered from your own research.

Michael is the owner of FreedomFire Communications....including Business-VoIP-Solution.com. Michael also authors Broadband Nation where you're always welcome to drop in and catch up on the latest BroadBand news, tips, insights, and ramblings for the masses.

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