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As T1s can be broken  into channels, voice & data can run side by side on the same circuit. This requires a device to convert the signaling  on the T1 into signaling that can be used by the phone, by the  router. The technical name for this process is multiplexing and the equipment required is called a multiplexer; it is known more commonly as a channel bank, CSU/DSU or T1 card. In the case of an intergrated one, the service can be run from the phone company's jack into the channel bank where the voice service is terminated and a jack for the data service is located. The benefits of using an intergrated version include lower rates for long distance, additional lines for long distance and toll free calling and the ability to bundle your data and phone costs on the same bill and same circuit. Nearly all providers are capable of offering intergrated voice and data products, some can even bundle local, long distance and data all on the same circuit. 

The four most common uses of a T1 line include:

  1. From one point to another, the is often referred to a Private Line;
  2. From one point into a secure carrier network as with Frame Relay;
  3. From one point into the public Internet;
  4. From one point into a carrier's voice network.
  5. How much does an Internet T1 cost?The price of an Internet T1 is generally made up of two components: the local loop price and the port price. The local loop is what connects your location to the carrier's POP (Point of Presence). Local T1 loops are priced according to the distance from your location to the carrier's POP and are priced differently by all carriers. If you are looking for T1 prices it is best that you receive quotes from multiple carriers to insure that you get the best deal available. As a rule you can expect an Internet T1, including local loop, to cost between $400 and $1,300 a month, depending on the installation location and the desired speed of the service.

    What is the difference between a DSL connection and an Internet T1 line?
    The primary difference between DSL and a T1 is in the level of over subscription that occurs before the service reaches the end user. When you purchase a full T1 of Internet access, what you are generally getting is access to 1.544 Mbps of transmission on the carrier's network, regardless of what other customers are transmitting and receiving. To better illustrate this, let's assume that a carrier has capacity for 150 Mbps at any given time. This means that the at the most, they would sell is 100 T1s; Tier One carrier networks are seldom oversubscribed. For every megabyte of capacity, they can sell one megabyte access to a customer.
    DSL works differently - and costs less - because of over subscription. When you use a DSL connection your service runs through a piece of equipment called a DSLAM, as opposed to running directly into the Internet. The DSLAM acts as a point of aggregation between the DSL subscribers and the direct connection to the Internet (normally a T1 or DS-3). Typical DSL over subscription rates run from 4:1 to 25:1. Or in other words, for every one megabyte of demand coming into the DSLAM, a fraction of that is available. The benefit to this design is that a DSL provider can provide a 2 Mbps connection for a fraction of the T1 price. The disadvantage is that when the DSLAM gets busy, your connection speed will slow considerably.

    T3 - comprised of 28 T1 lines
    A T3 line (also know as a DS-3) is an ultra high-speed connection capable of transmitting data at rates up to 45 Mbps. A T3 line is equal to approximately 672 regular voice-grade telephone lines, which is fast enough to transmit full-motion, real-time video, and very large databases over a busy network. A T3 line is typically installed as a major networking artery for large corporations and universities with high-volume network traffic. A T3 is the second fastest, non optical connection offered in North America. A T3 line is comprised of 28 T1 lines, each operating at total signaling rate of 1.544 Mbps.

What is the difference between T1s and T3s?
The most significant differences between T1 lines and T3 lines are cost and speed. The typical T1 connection costs approximately $800 per month while a T3 connection can cost as much as $15,000 per month. T3 lines are extremely high bandwidth connections into a carrier's backbone. They typically include SLAs (Service Level Agreements) that guarantee uptime and performance.

The New Kid ON THE BLOCK IS 100 MBS ethrenet .This is two times faster then the T3 . Yet the price is almost a 100 times less. It is a revolution in ISP. So once again we will see fiber optics use go up and telco are going to see diminishing returns. Cisco will be selling more terabit routers. As these new lines will run on OC backbones. 

Watch out 1000MBS service to business is already avaliable! Yes still cheaper then a T3.


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