Blog | MVPDs & Global Operators
April 15, 2015

Managing bandwidth growth

Allison Olien, Senior Director

Recent estimates put Internet usage at 3.4 billion users by 2016.* When combined with increased demand from streaming video, software downloads, 4K content delivery and application usage, the strain on a cable operator’s network can be substantial. Because Internet services are generally a critical portion of the triple play, meeting this demand, managing the growth of your network, and meeting the expectations of your subscribers can be vital to the success of your business.

No matter what method you employ to manage bandwidth demand, there will be an investment outlay. Leasing fiber or laying your own lines are the two most common methods used to increase bandwidth. The latter will obviously require a substantial capital investment and takes longer to achieve efficiencies, but you will ensure direct connectivity in the long run. The former, and more common method, gives you a much faster way to expand your bandwidth and satisfy customer demand, however it also comes with variable costs, back-haul, and premiums for local traffic. A third, more effective option, offers the benefits of both.

The most effective way to improve your network, manage bandwidth and account for growth is to connect directly to a network backbone. This requires you to deploy a dedicated fiber connection to one of the 20 interconnect stations throughout the nation. The benefits of this deployment are substantial in terms of cost savings, scalability, and customer satisfaction.  A direct connection to the backbone enables operators to optimize bandwidth usage and scale services as subscriber base grows and demand increases. In addition, circumventing backhaul reduces transit costs, while increasing capacity for newer IP technologies, such as VoIP and TVE. You’re able to offer more Internet-based solutions and products, but most importantly, the speed and stability of your network improves subscriber experience and satisfaction, which leads to greater customer retention and attraction.

Projections show marked increase in Internet usage and demand in the near future with no signs of slowing. It is never too late to take stock your network’s capability and capacity for growth and to explore options that keep you competitive and align with your business goals. The investment in a dedicated connection pays off in time and lays the groundwork for growth and viability.