[comp.dcom.telecom] Cost of Bandwidth

hes@ccvr1.cc.ncsu.edu (Henry E. Schaffer) (10/02/90)

In article <12433@accuvax.nwu.edu> dave@westmark.westmark.com (Dave
Levenson) writes:
X-Telecom-Digest: Volume 10, Issue 666, Message 6 of 11

>Future trends go toward
>allocating only the bandwidth required to every connection.  Rather
>than assign 64kbit/second of bandwidth to every conversation, whether
>or not it needs it, the future network will only assign the bandwidth
>actually required by the message channel being carried.  Speech
>compression and coding technology has advanced a long way since the
>first digital telephony standards were written.

  While processing is getting cheaper, it still requires extra
equipment and therefore there will be a tradeoff depending on the
relative costs of this processing and the savings in bandwidth.
Bandwidth seems to be getting cheaper, and we can get a very rough
indication of the costs of bandwidth vs. electronics from looking at
the relative costs of different amounts of bandwidth, e.g., 64 kbs vs.
T1.

  The 24 fold increase in bandwidth typically costs about 5 times as
much.  Even assuming that T1 termination electronics cost no more than
64 kbs, this suggests that under a fifth of the total line costs are
attributable to bandwidth.  (I'm also assuming that the charges are
related to the costs of providing the service.)

  I would expect there to be progress in dynamic allocation of
bandwidth, and the ability to request it, but if the cost goes up
slowly with the extra bandwidth then there would not be much pressure
to do processing to minimize voice bandwidth except for the most
expensive lines such as transoceanic ones.


henry schaffer  n c state univ