Understanding The Value Of Dark Fiber In Tele
Fiber optic technology is the process of transmitting data and information through a fiber, plastic or glass strand. This data is transmitted as light pulses through these strands. It is referred to as dark as it is unused and has no light pulses running through it. Information is transferred much faster this way than with copper wires. This is because this option offers no interference.
Dark Fiber was create in massive amounts in the late nineteen nineties by various telecommunications companies. Building of the conduits is what becomes most costly. This is where economies of scale are most significant.
The cable however is very inexpensive in relation to the total cost. Telecommunications companies realized after the dot-com boom that the market would grow to a larger level than most people anticipated. This is the reason huge networks were built at the time. Furthermore, wavelength division multiplexing enabled the fiber optic cables to transport massive amounts of data. This technology was developed around about nineteen eighty-four or nineteen eighty-five. This was the reason that cable would be needed even less than before.
As there is much more supply than demand for dark fiber, prices have been reduced dramatically. This means that companies that before hired this are now able to consider buying the product. Banks have now moved in the direction of owning and not hiring. These companies have huge needs when it comes to infrastructure and traffic.
Another sector of the market that is ordering this in huge amounts are colleges. They are now also creating their own networks. Many independent groups are following suit. One company has bought more than nine thousand miles of this product.
When demand was very high, it would cost one thousand two hundred dollars per mile of dark fiber. Today this can be purchased for fewer than two hundred dollars. It is clear that supply has exceeded demand in no small way. This is due to the fact that there was a massive amount of this laid ten plus years ago. There is no doubt about the viability and sustainability of this commodity in future years.
It has become an opportunity for groups that are involved in education and research to use this. This is also a great way in which universities can be connected via the Internet. Scientists can also be connected from their various institutions as well.
The previously exorbitant price is the reason that many people were unable to use this. Now with supply exceeding demand companies are able to use Dark Fiber like never before. This enhances people's experience of using the Internet like never before.