The Significance of a Broadband Network

A broadband network typically a complex system. It constitutes mostly of the following: multi-media, multi-point and multi-rate.

A multi-media transmission involves communication of audio, data, still images or full-motion video, or even a mixture of any of the aforementioned medium.

A multi-point transmission involves connections among more than two people. These connections may either be one way or two-way data transmission.

A multi-rate network allocates that transmission capability and flexibility to connections, and has to bear a broad range of bandwidth or transfer rates demanded by connections

A broadband network is significant because traditional networks present many barriers. For one, traditional networks are too noisy and not sufficient for sending and receiving large amounts of data. With broadband network, you can achieve the economy of sharing, and this feature also removes the need for many overlaying networks, which will only complicate network administration and reduce the flexibility in the innovation on services.

A broadband network is cost effective in terms of costs of infrastructure, transportation, regulation compliance, and duties and taxes. Broadband networks negates the same infrastructure costs as conventional networks. Traditional networks have more costs involved, including costs on central offices, long-distance switches, transport lines and wiring to location.

In terms of transport costs, broadband phone services use the Internet as their main transport, eliminating the costs of transporting data through any other means.

In terms of costs involved in complying with regulations, regulators do not classify broadband phone services in the same way they do traditional phone networks. Instead, broadband phone services are classified as data services. Thus many of the regulations that apply to traditional networks do not apply to broadband networks.

In terms of taxes and fees, broadband phone services are not bound to many of the local, state and federal taxes since they are classified as data services.