How to Manage Network Bandwidth Cost?

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Some enterprises resolve to multi-homed network in order to achieve better coverage and redundancy: if one vendor fails, services of other provider will be available. Seems to be a smart idea.

However, multi-homing introduces new problems, and cost management is one of them. Dividing requirements between two or even more providers you face negotiating issues, higher network engineering costs, paying for unused bandwidth and so on.

Tips for bandwidth cost reduction

If you are planning to use infrastructure extension further on, then you may apply a controller – intelligent network optimizer. It routes traffic and ensures the lowest latency level. Besides, some tools provide real time analytics and help clients manage costs and control the infrastructure.

Such solution can help you to optimize bandwidth cost the following ways:

  1. 1. You can organize your traffic so that to use the cheapest provider while still maintaining proper service quality.
  2. 2. Check whether all commit rates are met for every carrier and avoid paying for unused resources.
  3. 3. Reduce expenses on consultants and engineering staff. The controller will operate automatically and re-point resources to focus on other mission-critical tasks and projects.
  4. 4. Using of reporting data to rebate claims for packet loss and latency (Service Level Agreement is also taken into account).
  5. 5. It will suggest replacing some carrier, if you constantly rearrange traffic in favor of other providers. You can also decide to scale capacities with providers and negotiate price accordingly.

These measures allow cutting on hosting expenses greatly. However, such solution as a controller comes at a high price. While saving on bandwidth you’ll have to pay for the controller instead. Doubtful benefit, isn’t it?

What really helps saving?

CDN (content delivery network) is the most sensible alternative to multi-homing. Consisting of numerous edge servers, a system will deliver traffic to users quickly and distribute the load optimally. With CDN solution, you will be able to reach your customers, improve user experience and have all real-time statistics at hand. Besides, many providers offer pay-as-you-go model, so you won’t need to pay for resources you don’t use.

If you want to expand your presence in the Net and increase coverage, think twice before opting for multi-homing. CDN network appears to be a more cost-efficient solution that provides more possibilities.

Vadim Kolchev

52 publications

Vadim has graduated from Moscow Institute of Entrepreneurship and Law as finance and credit specialist. Prior to starting to work in hosting business directly, he occupied various roles in several companies, including but not limited to banking sphere and sports. As of 2015 he works for INXY Holding, with SpaceCDN being a vital part of the hosting branch of its business. Being tech enthusiast, he has started writing articles about dedicated servers, CDN, storage solutions and other hosting services long ago, and since then accumulated a lot of experience and knowledge in the field. Building hosting sales and support departments from scratch has added even more experience and knowledge and allowed to see the business from the inside and build required expertise. Now Vadim is CPO and COO of a successful hosting business. Having several important interviews and publications at platforms such as Hosting Journalist and Forbes, he continues to share knowledge about this branch of technology that has become not only his job but also a passion.

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