How Optical LAN can reduce the costs associated with network outages by 98% for corporations

by | Apr 24, 2019 | Blog

For modern businesses, network uptime is essential. When unplanned downtime happens, employee productivity, ecommerce and critical data gets lost, which costs businesses a ton of money. Gartner estimates that cost of network downtime for large corporations is $5,600 per minute, with the low being around $140,000 per hour and the worst-case scenarios hitting $540,000 per hour!

This is why LAN downtime is often a key performance indicator for CIOs, and IT pros, that directly impacts their performance reviews, compensation and career advancements.

So, how can we help?

We can help by making sure the CIOs, IT staff, and all other stake-holders, know that they have choices when it comes to choosing a more reliable infrastructure. There are alternative options that better matches the high-availability demands of cloud-services, wireless, smart-intelligent buildings and Internet of Things. The answer is Passive Optical LAN.

Based on traditional copper-based LAN manufacturer’s own design guide calculations, a simplex legacy LAN architecture provides no better than 9.99% 3-9s annual average network uptime. That equates to approximately 5.5 hours of network downtime.

For Optical LAN, a simplex design provides 99.999% 5-9s of availability, or only 5.26 minutes of projected downtime per year.

If you multiple the duration of these annual average network downtime to the Gartner $5,600 per minute cost, you’ll quickly see that a traditional LAN annual network outage can cost a corporation around $1,848,000, where an Optical LAN architecture cost is down near $29,456 – that makes Optical LAN 98% better!

So, not only can Optical LAN save a business money with less foreseen network downtime, but it may also secure some smart thinking employees their bonus, raise and promotion!

Why is Optical LAN so much more reliable?

Our Optical LAN is carrier-grade, meaning it was born in the telecom space where 99.999% availability is mandated by law because it supports lifeline voice and 911 services. Tellabs’ equipment is built upon higher grade components, and requires less electronics, and cabling. It is less complex, easier to manage, reduces human touch and has less points of vulnerability than traditional LAN.

Better yet, we can raise-the-bar even further by supporting a very cost-effective, and fully redundant, 99.9999% 6-9s ultra-high availability design with Type-B PON Protection. That means that an annual average network downtime of 30 seconds is possible, thus lowering the cost to corporations of network outrage down to a mere $2,799.

If you want more information about our Tellabs Optical LAN high-availability solutions, please stay connected with us on our social media channels, such as FacebookLinkedInTwitter, Instagram, and YouTube.

John Hoover

John Hoover

Marketing Director

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