BRC Report Reveals Huge Discrepancies in Prices Charged for International IP VPN and Frame Relay.Business Editors Prices paid by major international companies for the same international VPN (Virtual Private Network) A private network that is configured within a public network (a carrier's network or the Internet) in order to take advantage of the economies of scale and management facilities of large networks. & Frame Relay A high-speed packet switching protocol used in wide area networks (WANs). Providing a granular service of up to DS3 speed (45 Mbps), it has become popular for LAN to LAN connections across remote distances, and services are offered by most major carriers. services vary hugely, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. an independent analysis by BRC BRC Black Rock City (Burning Man) BRC British Retail Consortium BRC Business Resource Center (Small Business Administration) BRC Bisexual Resource Center BRC Black Radical Congress Consultancy Ltd, London. The results of BRC's report, Market Prices for International IP VPN & Frame Relay Prices in Major Networks show that there is little consistency in prices, with some suppliers charging four times as much or more for the same connection. This is even after taking account of factors normally influencing price, such as service level agreements, contract terms and contract size. Discrepancies found included price variations of 9 to 1 for frame relay links between France, Germany, Italy, Netherlands and Switzerland using 128 kbit/s ports and a CIR (Committed Information Rate) In a frame relay network, the average transmission rate in bits per second (typically Kbps) for a virtual circuit. It defines the maximum rate that the network can handle under normal conditions. of 64 kbit/s; of 4 to 1 from two different suppliers for 128 kbit/s VPN ports in Belgium, both with throughput guaranteed at 50% of port speed; and 7 to 1 for two similar frame relay links from Brazil to the US. "Prices seem to be based on what individual customers are prepared to pay," says David McCron, Director of BRC Consultancy. "The challenge for suppliers is to use clearly defined service levels and other factors to justify varying price levels." VPN and Frame Relay prices were found to be very different. Some VPN's are very much cheaper than frame relay, but low cost VPN's tend not to come with guarantees of end to end throughput across the network. The recent spate of bankruptcies suggests that some VPN prices may be too low. BRC's report is part of a continuous series that compares prices charged by different suppliers for services worldwide. It uses a combination of research into network expenditure by international corporations and BRC's unique and powerful model to process the results. The report provides detailed information on the latest prices by speed and country from major suppliers such as BT Ignite, Equant, Infonet, Deutsche Telekom Deutsche Telekom AG (ISIN: DE0005557508, FWB: DTE, NYSE: DT, LSE: DEU, TYO: 9496 ) (abbreviated DTAG) is a telecommunications company headquartered in Bonn, Germany. It is the largest telecommunications company in Germany and in the EU. and Worldcom. The survey is available from BRC Consultancy Ltd, London. Notes for editors: BRC Consultancy Ltd was founded in 1990. The company specializes in strategic marketing and application of mobile, Internet and data network services. For more information, contact: Michael Vadon BRC Consultancy Ltd Tel: +44 (0)20 7306 3235 Email: Michael.Vadon@brc.co.uk 4th floor, The Linen Hall, 162-168 Regent Street
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