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Ethernet network market 'set for price war'
 
Innovation in the data management sector may see the price of Ethernet networks tumble over the next few months as new technology comes to bear on the market.

Services making use of so-called Next Generation Network (NGN) tools are set to launch in the near future which promise 100MB Ethernet connections for as low as £800 a month.

This technology makes use of the development of the internet to converge numerous services into one system - such as VoIP calls, web connection and the company's private data network.

Lee Wade, the founder of one firm preparing an NGN offering for launch in the second quarter of 2008 told the Register of his hopes for the technology as an alternative to traditional legacy systems.

Apart from the reduced costs, he suggested that "the appeal is the versatility of providing VoIP, and internet, and WLAN, and virtualisation products" under one network - which also has spare capacity to expand with other services as necessary.

Mr Wade claimed that a traditional system with the same feature roster would cost companies £45,000 a year to set up and maintain.

So with an NGN solution possibly set to come in at less than a quarter of the price, companies may consider updating their systems to a new converged network.


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