Is it time to upgrade to a T1? There are several factors to consider when examining you current DSL connection and the possiblity of replacing it. For many people the biggest factor is reliability and if reliability is critical to the applications you run over your connection you should seriously consider replacing your DSL connection with a T1. DSL is a quick and cost effective method of acquiring high speed bandwidth however it is not intended to support commercial applications or large numbers of users as is a T1 connections.

Reliability becomes critical when customers or employees depend on your connection for immediate responses. If your customers use your connection to access your databases or your server or the internet then reliability of your connection is critical. If your employees depend on your connections because you host the e-mail server in house or host web servers, your connections is considered critical. A critical connection can be viewed much like a life line, without which your business would be negatively impacted. Your monthly savings of having a sub-par connections will not make up for the loss in productivity of your employees or loss of customers when your DSL connections gets bogged down or cut off. To reiterate, ciritcal connections should be supported with a T1.

Many customers are extremely price sensitive and cannot afford the cost of a T1 which can be as much as 20 times more expensive than a full T1 connection. Residential customers who are most sensitive to price should not consider a T1 circuit unless then have a business reason to pay for such a circuit and cannot access DSL service. Most people don't realize that a DSL connection can be just as fast as a T1 at 1.5Mbps. The shortcoming of DSL is that it is oversubscribed. This means there is a finite amount of bandwidth available and a customers speed can drop if other customers in the neighborhood decide to use their service. SDSL (Synchronous DSL) is a business class DSL and is ranked as a higher priority than residential DSL or ADSL (Asunchronous DSL). This means it is not oversubscribed to the extent than ADSL and is subject to fewer bandwidth restrictions. In short, if price is your critical factor go with DSL. If reliability is the critical factor purchase a dedicated T1.

Like most telecommunications services DS3 prices (commonly known at T3) have been falling for the last few years. This is due to several factors. Competition has been heating up since deregulation in 1996. The number of companies offering service has exploded. With more competition in the marketplace service providers have to reduce their prices to attract customer and keep them from going to competitors. Service providers are desperate to keep margins but even more desperate to keep adding customers. This competetive arena has created a buyers market for DS3 lines and pricing is as favorable as it has ever been!

The soft economy and crash of the stock market has also contributed to the reduction in ds3 price. Since the peak of the market in 1999 many companies have gone out of business and no longer require service. This means there's a smaller pie available and there are plenty of telecom providers trying to get their share. Once again, the buyer is in control and can shop until he or she finds the price that is right for them.

A final reason for the reduction in DS3 pricing is the fact that equipement costs and the cost of supplying the bandwidth have decreased. This means that companies can supply the bandwidth at a lower cost. As bandwidth usage continues to increase as a result of bandwidth hungry applications like video on demand and graphic heavy applications the price of bandwidth will coninue to drop. The only factor that seems tlikely to inhibit prices from falling much further is the "last mile" or the connection from the users premise to the service providers' POP (Point of Presence), but we'll save this issue for another article. Until then, enjoy those affordable DS3's and good luck finding a price that's right for you!