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One of the most common uses of a T1 line is an "Internet T1". This connection is used to provide Internet access to businesses of all sizes. Available in over 95% of the lower forty-eight states, Internet T1s have become one of the most popular ways for multiple users in one location to connect to the Internet. The connection is available from dozens of providers with monthly prices for Internet T1 service ranging from $300 - $1,500. The telecom marketplace is fiercely competitive and receiving quotes from multiple providers can save a company thousands of dollars a year.

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.

Do all carriers provide the same type of Internet T1 service?

Just because a carrier says that they are providing a T1 to the Internet; do not assume that all carriers are providing the same service. Every carrier uses different technology and design in transmitting data from your location to the Internet. Large carriers like AT&T, Qwest, Sprint and WorldCom use fiber optic backbones that they own and operate. These networks are highly sophisticated and redundant and can move data at speeds up to OC-192. When you buy access from one of these providers - or from a rebiller of their T1 service - you are getting the highest quality available. Some smaller providers will buy access from a large Tier One provider then resell the service to a large number of subscribers, resulting in poor quality. If you have questions about what network a T1 provider is using, we would be happy to provide you with the answers that you need.

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.
T1

T1 or Trunk Level 1, is a digital transmission link with a total signaling speed of 1.544 Mbps. Since its development in 1957 by AT&T's Bell Labs, it has become the building block of dedicated voice and data service in North America. T1, also know as DS1, is part of a progression of digital transmission pipes - a hierarchy known generically as DS, or Digital Signal Level.

T1 service can be delivered to the end user in either a channelized format or an unchannelized raw bit stream. North American carriers typically deliver T1 split into 24 56/64kbps channels. These channels can be used to transmit voice (typically one conversation per channel) or data across a network. A T1 alone provides no services to a location, only a means of getting those services from the network into your office. For example, should a location require a dedicated T1 for internet access, you would have to pay both the T1 charge (commonly known as the "loop" charge) and the Internet access port charge; this is the cost of the throughput into the Internet. These charges often make the cost of a Trunk Level 1 line considerably higher than a DSL line.

What is a Full T1 Connection?

When a carrier gives you the option of purchasing a full T1, you can get the full 1.544Mbps circuit unchannelized direct into the Internet (or Frame Network, or Point-to-Point); also known as a clear channel T1. A Fractional T1 is a channelized T1 with only some of the channels turned on. Fractionals are normally priced in terms of Kbps. For example you can get 384kbps, 512kbps or 768kbps from most carriers. However, given the cost of provisioning, you may be better off paying a couple hundred dollars extra for the full line. Fractional T1

What is an Intergrated T1?

Because T1s can be broken out into channels, voice and data can run side by side on the same circuit. They require a device to convert the signaling from that used on the T1 into signaling that can be used by the phone, the equipment, or router. The technical name for this process is multiplexing and the equipment required is called a multiplexer; but 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. If you are looking for more information on Intergrated T1s or need to price service for your location, fill out our quote form and Business T1, T3 & DSL Line will provide you with prices from multiple providers within two business days.

Who are the providers of T1 lines and services in the U.S.?

As T1 connections have become widely popular across the U.S., several companies have built large, sophisticated networks to meet the demand for these services. These companies include AT&T, Sprint, Qwest, WorldCom, Williams, Level 3 and Global Crossing. These providers are normally referred to as Tier 1 providers. Newton's Telecom dictionary defines a Tier 1 provider as a carrier that, "…has over 50 POPs (Point-of-presence) worldwide; has a network managed by a 7x24 NOC (Network Operations Center); has the ability to reroute and fall back if there is congestion or failure; has redundancy in terminating locations and has the ability to offer several levels of quality." Smaller providers that use Tier 1 networks to provide services to the end user are often referred to as Tier 2 or 3 providers.

What criteria are important in evaluating T1 providers?

As many telecommunications companies have fallen on hard times, the number of telecom bankruptcies has increased, resulting in shuttered networks and stranded customers. T1 connections are often central to daily operations and considered extremely important. For this reason it is crucial that the chosen provider be stable and competent in providing the contracted services. Bandwidth Resource is committed to offering services from providers that are stable, our compensation and our future is dependent on it. It is important to note that telecom companies in bankruptcy are often capable of providing high quality service and strong customer support, but that is not always the case. Another important element in the decision making process is the coverage that a carrier is capable of providing. AT&T, for example, has more POPs nationwide then any other carrier. This means that on average, customer locations are closer to AT&T's network then the networks of other carriers. Network proximity has an impact on cost because of the mileage sensitive nature of T1 lines and T1 local loops. The final consideration that we believe is important in selecting a T1, Frame Relay or Internet provider is their capability to provide provisioning, billing and technical support. T1 products are by their very nature, complicated and require a good deal of support from the company providing them. Unfortunately

What is a point-to-point or private line T1?

T1 lines have dozens of uses, they can connect a location to a carriers' Frame Relay network, Internet backbone and voice network. They can also connect two locations together via the local carriers and an inter-exchange carrier; this is often referred to as private line or point-to-point service. Prior to the popularization of Frame Relay and VPN, private lines were used to connect multiple locations to each other and to a host or corporate office. While still available today, private line T1s are traditionally more expensive than Frame Relay and VPN connections.

What are some uses for private line service?

Private lines are service agnostic, they can be used for a wide number of applications regardless of data format. Traditionally used to connect networks at remote offices together, private lines can also connect PBX and key systems together to transmit voice communications between two locations. Recently they have been used to provide video conferencing between two or more locations. As Frame Relay prices have fallen in comparison to private line service, private lines use as a WAN (Wide Area Network) method has decreased.

What makes up a private line?

Like other dedicated T1 services that run between central offices, a local T1 or DS0 loop is required to connect to the IXC (Inter-exchange carrier) such as AT&T, WorldCom or Qwest. In the case of a point-to-point, two local loops are required, one on each end of the private line. Most T1 private line connections have three charges, the local loop for end A, the local loop for end B and the IXC connection cost often referred to as the port charge. The IXC portion of a private line is often priced by the mile, so a full T1 private line from LA to New York would cost more than a full T1 private line from New York to Chicago.

Who provides private line service?

Private line service is provided by both LECs (Local Exchange Carriers) and by IXCs. When connecting two locations that are a considerable distance apart, the most competitive prices will come from IXCs with large nationwide networks that can provide the long haul portion of the private line for little cost. If the locations are located inside the same LATA, it is likely that the competitive price will come from a CLEC (Competitive Local Exchange Carrier) or the ILEC. The largest providers of private line service include AT&T, WorldCom, Sprint, Qwest, SBC and Verizon. When shopping for T1 or DS0 private line service it is best to quote several providers as prices can vary greatly. In addition to pricing multiple providers you may want to request prices for comparable services such as VPN and Frame Relay to determine if T1 or DS0 private line is the best technology for your application.