While many people predicted the end of price erosion for a T1 internet connection it continues to fall. Service providers are up against stiffer competition and are desperate for new customers to fill their pipes and turn a profit. Are you ready to negotiate for a rock bottom price? Before you do, consider a few of the reasons for the drop in price on T1 bandwith.

T1 bandwidth pricing had reduces as companies have gone out of business and the large number of telecommunications companies are fighting for a place in a smaller market. While many service providers did have room to lose margin, many have come dangerously close to the edge of selling circuits at a loss and many have gone beyond this point. It seems that in the race to the bottom many providers failed to learn the lesson that selling at a loss does not create a long lasting and healthy company no matter how many circuits or widgets you sell. Many companies selling at a loss have already been in bankruptcy and look like they will repeat this exercise as they did not learn from their first go around. So, solvency of the T1 internet service provider should be a consideration when looking at great bargains.

Another consideration in bargain shopping for T1 service is the fact that all T1's are not created equal. Many providers are convinced (and rightly so) that customers are focused on price and are not concerned with quality of service. Many providers are now oversubscribing T1 service connections as though they were DSL connections. This means you may not get the bandwidth you thought you would get. Make sure when you look for that bargain price you also reveiw the SLA (Service Level Agreement) and make sure the contract protects you and guarantees you will get the bandwidth to which they committed. Remember, when bargain hunting for T1 service you'll most likely get what you pay for.

Frame Relay was developed to solve communication problems that other protocols could not: the increased need for higher speeds, an increased need for large bandwidth efficiency, particularly for clumping ("bursty" traffic), an increase in intelligent network devices that lower protocol processing, and the need to connect LANs and WANs. Like X.25, Frame Relay is a packet-switched protocol. But the Frame-Relay process is streamlined. There are significant differences that make Frame Relay a faster, more efficient form of networking. A Frame-Relay network doesn't perform error detection, which results in a considerably smaller amount of overhead and faster processing than X.25. Frame Relay is also protocol independent-it accepts data from many different protocols. This data is encapsulated by the Frame-Relay equipment, not the network.

'Today's LANs and computing equipment have the potential to run at much higher speeds and transfer very large quantities of data. With the diversity and complexity of today's networks, management can be a mammoth task if you don't have the proper tools. Each environment is a unique combination of equipment from different vendors. Frame Relay uses a packet-switching technology, similar to X.25, but is more efficient. As a result, it can make your networking quicker, simpler, and less costly.

Frame Relay sends information in packets called frames through a shared Frame-Relay network. Each frame contains all the information necessary to route it to the correct destination. So in effect, each endpoint can communicate with many destinations over one access link to the network. And instead of being allocated a fixed amount of bandwidth, Frame-Relay services offer a CIR (committed information rate) at which data is transmitted. But if traffic and your service agreement allow, data can burst above your committed rate. Since Frame Relay has a low overhead, it's a perfect fit for today's complex networks. You get several clear benefits: First, multiple logical connections can be sent over a single physical connection, reducing your internetworking costs. By reducing the amount of processing required, you get improved performance and response time. And because Frame Relay uses a simple link layer protocol, your equipment usually requires only software changes or simple hardware modifications, so you don't