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Why Self-Built DCI Exceeds Leased DCI: Exploring the Benefits

Posted on Apr 27, 2024 by
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In the dynamic landscape of modern data infrastructure, the choice between self-built Data Center Interconnects (DCIs) and leased options has become increasingly pivotal. As industries evolve and demand for data transmission escalates, organizations must carefully consider which approach best aligns with their strategic objectives and operational requirements. While leased DCIs offer convenience and flexibility, self-built DCIs present a compelling alternative with a multitude of benefits that often exceed those of their leased counterparts. Let's delve into why self-built DCIs outshine leased DCIs, exploring the array of advantages they offer.

What Is DCI?

Data Center Interconnect (DCI) is a network solution facilitating seamless communication and connectivity between data centers across diverse locations. It boasts flexible interconnection, heightened efficiency, robust security, and streamlined operations, effectively addressing the requirements for efficient data exchange and disaster recovery among data centers. Serving as a foundational infrastructure for digital transformation, data centers have witnessed widespread adoption in enterprises, fueled by the emergence of cloud computing, big data, and artificial intelligence. To satisfy demands for cross-regional operations, user accessibility, and remote disaster recovery scenarios, organizations and enterprises are increasingly deploying multiple data centers in various geographical regions, thus necessitating the interconnection of these facilities.

Higher Cost-Effectiveness of Self-Built DCI than Leased DCI

Dedicated lines are usually leased on a monthly basis, with pricing varying significantly due to global and regional competition. Dedicated lines utilizing WDM technology with 10G/100G hard pipes often command higher prices compared to MPLS lines based on IP technology. In the case of self-built DCI, beyond the initial equipment purchase costs, ongoing expenses include fiber rental fees, equipment maintenance, electricity costs, and, if equipment space is leased, additional considerations for space rental fees arise. Self-built DCI costs = Equipment CAPEX + Fiber rental fees + OPEX (Space rental/electricity/maintenance). Here is an example comparing dedicated line prices in a European city with the costs of self-built DCI:

When the leased line is 1x10GE, the monthly rental fee is $2500, when the leased line is 1x100GE, the monthly rental fee is $20,000.

Based on calculations, the breakeven point for a DCI bandwidth of 410GE@40km is reached within 5 months compared to leased line costs. Similarly, for a DCI bandwidth of 2100GE@100km, the breakeven point is reached within 3 months compared to leased line costs. However, regional price differences necessitate conducting a Total Cost of Ownership (TCO) analysis to compare based on local circumstances. Generally, higher bandwidth in self-built DCI results in quicker breakeven points compared to leased line costs.

DCI

Types of DCI
Business Activation
Operational Gap
 Quality Gap
Self-Built DCI
Days
Self-Controlled SLA
Dedicated Fiber
Leased DCI
Weeks
Passive SLA Assistance
Shared Fiber
 

Higher Efficiency of Self-Built DCI than Leased DCI

Dedicated line activation relies on the efficiency of network service providers, while self-built DCI offers higher efficiency and superior timeliness.

In the digital age, the demand for rapid business deployment is increasing. If DCI deployment takes too long, it will hinder overall business testing and deployment, resulting in delays. The networks used by network service providers for dedicated lines are not tailored to specific customers and applications, and transmission paths are deployed based on broad coverage principles. When urgent demands for dedicated lines arise, bandwidth or latency requirements may become difficult to meet, necessitating network expansion or adjustments. This complex process leads to slow effects, and the complex activation and debugging processes for equipment targeting customers often result in dedicated line activation times of several weeks or even months. With self-built DCI, there is no reliance on the network service provider's processes and technologies. Custom DCI SLA requirements and deployment time requirements can be defined, and IT-based DCI equipment suitable for DC deployment can be selected to establish the network. Network deployment and business activation can be completed in just a few days once the initial network is established. Subsequent business activations based on network expansion are more efficient and can be completed within hours.

Higher Quality of Self-Built DCI than Leased DCI

Dedicated lines are not dedicated networks, and network adjustments affect quality; self-built DCI provides physical dedicated networks, ensuring higher quality.

Dedicated line networks are typically shared by B2B, B2C, and B2H services typically share dedicated line networks. Even dedicated dedicated line networks are shared by multiple dedicated line tenants and multiple businesses. The frequent expansion and network adjustments due to multiple business bearers have affected the stability, latency, and security of the business. Once adjustments to dedicated line tenant businesses involve capacity expansion or cutover, they often require the consent of multiple customers, resulting in low efficiency. Dedicated line tenants only see a few business ports allocated by the network service provider, with the flow paths of the business controlled by the network service provider. The network service provider will prioritize maximizing its own network resources, potentially routing business through unnecessary network paths, and complicating business paths. As a result, DCI business channels are easily affected by fluctuations and adjustments in the network service provider's own network, and even network interruptions caused by network service provider operational errors. Therefore, the probability of problems and the security of leased dedicated line bandwidth services are relatively high. Self-built DCI is a physical private network, with dedicated fiber and equipment, allowing for autonomous control of the stability and latency metrics of the business, avoiding passive network adjustments, and ensuring transmission quality.

Better Operation and Maintenance of Self-Built DCI than Leased DCI

Passive response and slow operations and maintenance from dedicated lines; self-built DCI offers more autonomy and efficient maintenance.

Dedicated line network service providers' operations and maintenance management processes of dedicated line network service providers are often complex. Once a dedicated line problem occurs, a series of processes are required to trigger fault location and resolution. Typically, network service providers will first determine whether it is a dedicated line problem through fault localization and then perform fault location on complex dedicated line networks and CT equipment. The involvement of multiple operational departments results in low efficiency. If the organization's own operational capabilities are insufficient, contacting equipment manufacturers for assistance in fault location is necessary. Moreover, in terms of operations and maintenance, as dedicated lines are not dedicated networks, implementation often requires consideration of the impact on different tenants and businesses, leading to delayed problem resolution. With self-built DCI, network operations are completely self-controlled. Signing maintenance contracts with manufacturers allows for faster and more flexible equipment fault handling and response compared to the network service provider's response speed. The smaller network scale also reduces the difficulty of fault handling and business recovery time, effectively avoiding data disasters caused by DCI failures.

Conclusion

In summary, self-built Data Center Interconnect offer significant advantages over leased options. They provide higher cost-effectiveness, efficiency, quality, and operational autonomy. As organizations adapt to evolving data transmission demands, self-built DCIs emerge as a pivotal solution for optimizing data infrastructure. With their array of benefits, they serve as a cornerstone for robust data connectivity in the digital era. Meanwhile, FS offers a comprehensive DCI solution. FS DCI solution offers full coverage with its DWDM Mux Demux, capable of multiplexing up to 40 channels over one fiber pair, supporting 400G capacity transmission. Complementing this, the M6200-20BA/PA amplifies the multiplexed signal, enhancing transmission distance and quality for stable operation. With 1+1 Dual PSUs, the system ensures reliable device transmission, while main and backup protection of the management modules guarantees stable monitoring and management. Its flexible, modular 2U chassis allows for better performance in less space, and hot-swappable, plug-and-play device modules facilitate flexible deployment. Additionally, FS DCI solution offers easy management through support for SNMPV2 and WEB remote unified management, with optical ports and RJ45 ports for management connection, ensuring convenient and fast operation.

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