Yipes scales Ethernet service

NETWORK WORLD NEWSLETTER: OPTICAL NETWORKING
09/19/05

Dear networking.world@gmail.com,

In this issue:

* Addition of VPLS designed to enable greater multipoint reach
* Links related to Optical Networking
* Featured reader resource
_______________________________________________________________
This newsletter is sponsored by HP
FROM THE NETWORK CORE TO THE NETWORK EDGE

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_______________________________________________________________
SPYWARE SHOOTOUT

Need to defend your network from spyware? Lots of tools and
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2005 suggests the gateway approach might be the best starting
point but is it a long-term strategy? Click here for more:
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_______________________________________________________________

Today's focus: Yipes scales Ethernet service

By Jim Duffy

Yipes Enterprise Services last week rolled out an Ethernet
offering that uses new VPN technology to support global
multipoint connectivity.

The service exploits the Virtual Private LAN service (VPLS ), a
proposed IETF standard that supports the connection of multiple
sites in a single bridged domain over a managed IP/MPLS network.
The goal is to overcome the limitations of ATM and frame relay
for providing a protocol-transparent, any-to-any, full-mesh
service across a WAN.

All services and sites in a VPLS appear to be on the same LAN,
regardless of location. This removes complexity from enterprise
networks, and lets carriers scale their offerings.

"VPLS - which will do automatic distribution over a mesh network
- is just so much better [than] trying to configure a bunch of
point-to-point links manually for wide-area network services,"
says David Hold of Current Analysis. "It's a question of whether
a company as small as Yipes can effectively market it."

Yipes is rolling out the service across its network footprint,
which includes 14 metropolitan areas in the U.S. and
international hubs in Hong Kong and London.

The service is anchored on Juniper M-series routers, which
create an MPLS Path mesh over which all Yipes Ethernet WAN
services operate at Layer 2. Yipes says the VPLS service lets
companies replace global frame relay, ATM and private-line
networks with Ethernet services.

Ethernet is increasingly being pitched by carriers as a flexible
and cost-effective alternative for those legacy data services.

One big selling point is Ethernet's ability to provide a lower
cost per bit and to provide a greater range of bandwidth
options. Generally, Ethernet costs $900 to $1,000 per month for
10M bit/sec throughput, seven times the bandwidth of a 1.5M
bit/sec, $400- to $500-per-month frame relay T-1. A 100M bit/sec
Ethernet pipe costs about the same as a 45M-bit/sec ATM link -
about $5,000 per month.

Yipes' new VPLS-based service costs $1,000 to $2,000 per month
for 10M bit/sec on an intra-metro basis, and $4,500 to $7,000
per month for inter-metro. For 50M bit/sec service, it costs
$3,000 to $4,000 per month intra-metro, and $9,000 to $14,000
per month for inter-metro.

Pricing for the fully managed Yipes service includes the local
loop, the customer premises equipment and the WAN services.
Yipes says this represents a 20% to 40% savings over Layer 3
VPNs.

Total cost - including network, hardware and management - is
typically 50% to 70% lower than Layer 3 VPNs because of
simplified management, provisioning bandwidth at 1M bit/sec
increments and network service savings, Yipes says.

Pricing aside, Yipes has seen a dramatic change in why customers
adopt Ethernet, says Keao Caindec, Yipes' vice president of
marketing.

"Three years ago, customers chose Ethernet services because it
was simple, flexible and cost-effective for point-to-point
connections," he says. "Today's Ethernet services buyers are
implementing global, multipoint-to-multipoint Ethernet-based
network solutions due to application and scalability
requirements. Demanding applications such as electronic trading,
electronic discovery, backup and recovery and electronic imaging
are very difficult to operate and scale in a timely manner over
traditional frame relay, ATM, private line and IP VPN networks."

As a Juniper customer, Yipes has implemented the
non-hierarchical, Kireeti Kompella-written draft of VPLS.
Kompella is a distinguished engineer at Juniper.

Hierarchical VPLS, written by Marc Lasserre of Riverstone
Networks and others, allows service providers to scale VPLS
networks to hundreds of thousands of subscribers by enabling
them to establish hierarchies of connectivity. These hierarchies
are intended to simplify network configuration by limiting
meshed circuits to the core of the network, which also reduces
signaling overhead.

The top 5: Today's most-read stories

1. McAfee, Omniquad top anti-spyware test
<http://www.networkworld.com/nloptical6923>

2. Volunteers rebuild Gulf Coast communications with wireless
nets <http://www.networkworld.com/nloptical7182>

3. Cell phone tossing contests catching attention abroad
<http://www.networkworld.com/nloptical7183>

4. Supermarket chain freezes Internet access
<http://www.networkworld.com/nloptical6675>

5. The rise of the IT architect
<http://www.networkworld.com/nloptical7024>

_______________________________________________________________
To contact: Jim Duffy

Jim Duffy is managing editor of Network World's service provider
equipment coverage
<http://www.networkworld.com/topics/service-providers.html>. He
has 18 years of high-tech reporting experience, including over
12 years at Network World. Previously, he was senior editor at
Computer Systems News and associate editor/reporter at
Electronic News and MIS Week. He can be reached at
<mailto:jduffy@nww.com>.
_______________________________________________________________
This newsletter is sponsored by HP
FROM THE NETWORK CORE TO THE NETWORK EDGE

Traffic management becomes critical as your network
infrastructure expands to support different types of traffic and
users. Most traffic management solutions have serious
limitations: too expensive, difficult to use, and overly taxing
on bandwidth. However ProCurve Networking by HP addresses these
requirements, overcomes the limitations of other solutions, and
gives you valuable insight into LAN performance. Click here to
download HP's Traffic Management Whitepaper
http://www.fattail.com/redir/redirect.asp?CID=115481
_______________________________________________________________
ARCHIVE LINKS

Archive of the Optical Networking newsletter:
http://www.networkworld.com/newsletters/optical/index.html
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FEATURED READER RESOURCE

IS IT THE NETWORK OR THE STORAGE THAT'S THE PROBLEM?

Midsize and larger businesses often find their IT topology has
become a complex mix of servers, networks and storage systems.
Many of these companies also route long-haul traffic over
fiber-based networks - metropolitan-area networks, WANs and
private optical networks. Who's responsible when a
storage-related problem occurs on a fiber network? For more,
click here:

<http://www.networkworld.com/nloptical7025>
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