Bandwidth Management, Proper Planning Equal Cost Savings

By | March 1, 2005 | Satellite News Feed, Telecom

Throughout our issues of Satellite Business Solutions, we have profiled success stories of medium and large corporations effectively using a satellite-enabled network to advance business plans and grow revenue. From Carnival Cruise Lines introducing Internet connectivity to all its ships, enhancing the customer experience as well as streamlining corporate communications; to Ford Motor Company upgrading its in-house training for more efficient sales, all have benefited with this secure, reliable and adaptable technology.

But one fact remains true with any cutting-edge technology: the cost of implementation is still high. With satellite hardware prices averaging $6,000 per site and satellite bandwidth time averaging $3,000 per month, many may be quick to overlook space-based transmissions. But with proper planning, it should not be passed by because the economies of scale will play in the client’s favor in the long term.

Understanding the cost benefit at the start is key in budgeting and planning for such a network to turn into a revenue-generating utility. Also, there is now ground equipment specifically designed to better manage bandwidth use—at times in the efficiency order of up to 40 percent. This alone can slash long-term expenditures from a satellite-enabled network. Specifically, as business needs grow and content dissemination changes from simple to rich media, there may not be a need to increase the amount of bandwidth leased from a satellite carrier if such bandwidth-efficient ground equipment is in place.

Companies will be able to do more with the bandwidth at hand.

Finally, it is important to note that the adage “you get what you pay for” applies here. By investing in satellite, customers not only gain a robust system, but also a highly secure and reliable transmission portal because it is more difficult to hack into a satellite signal than it is to splice a terrestrial line.

With the new advanced technologies on the market today, the competitive pricing nature of the satellite bandwidth carriers and the inherent benefits of satellite transmission, it is apparent that with a bit of proper planning, a satellite-enabled network, as well as being cost efficient in the long term, can become an integral part of a business plan.

Nick Mitsis

The Connected Cockpit: Driving the Change
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