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What is Carrier Ethernet?

Carrier Ethernet enables you to link your dispersed business sites with high capacity, scalable and cost-effective Ethernet connectivity. Learn how it works, what services are available, and how it could benefit your business.

Neos Networks | 15 May 2025
carrier ethernet plugs

What is Carrier Ethernet?

Carrier Ethernet is a network service that extends Ethernet technology beyond local area networks (LANs), allowing businesses to connect one or more sites over long distances. Typically used to build wide area networks (WANs), it provides high capacity Ethernet connectivity between geographically dispersed locations, such as branch offices, data centres or cloud service providers.

How does Carrier Ethernet differ from traditional Ethernet?

While Carrier Ethernet and traditional Ethernet both rely on Ethernet protocols, traditional Ethernet is designed to connect devices within a single site, such as an office or campus. By contrast, Carrier Ethernet uses a network service provider’s managed infrastructure to connect one or more sites, often over greater distances or across geographically dispersed locations.

Here’s a breakdown of the key differences:

Ethernet vs Carrier Ethernet

Traditional Ethernet Carrier Ethernet
Geography Connects devices within your local area network (LAN) Connects one or more geographically dispersed business sites via a service provider
Management Managed internally by your IT team Fully managed service with monitoring and SLAs
Distance Limited to a single site, like an office or campus Suitable for metro, regional, or geographically dispersed links
Delivery Runs over your internal cabling and hardware Delivered via a provider’s managed infrastructure
Speed Typically up to 1Gbps, though higher LAN speeds (e.g. 10Gbps) are possible Often supports 1Gbps to 100Gbps, depending on the service
Scalability Limited by your existing LAN infrastructure Easily scalable to meet growing bandwidth demands
Resilience Depends on your on-site setup Built-in redundancy and carrier-grade fault tolerance
Standards IEEE Ethernet standards (e.g. 802.3) IEEE Ethernet standards plus Metro Ethernet Forum (MEF) specifications
Typical uses Connecting computers, printers and servers on-site Linking branch offices, data centres or cloud services

 

Types of Carrier Ethernet services

Carrier Ethernet is a collection of service types standardised by the Metro Ethernet Forum (MEF) to meet different business needs. Here are the main service types for end-user subscribers.

E-Line (point-to-point or point-to-multipoint)

The most common Carrier Ethernet service, E-Line, provides a dedicated point-to-point (P2P) connection between two sites. Also known as Ethernet Private Line (EPL), it provides a P2P Ethernet Virtual Connection (EVC) between a pair of user network interfaces (UNIs). It’s ideal for businesses that need a secure, high-capacity link between two fixed locations.

E-Line (P2P)

E-Line Carrier Ethernet showing a direct point-to-point connection between two locations across a provider's network

If you want to connect multiple sites, you can use E-Line in Ethernet Virtual Private Line (EVPL) configuration. EVPL supports point-to-multipoint (P2MP) connectivity by enabling multiple EVCs per UNI.

E-Line (P2MP)

E-Line Carrier Ethernet showing a direct point-to-point connection between two locations across a provider's network

 

E-LAN (multipoint-to-multipoint)

Enabling any-to-any connectivity, E-LAN, also known as Ethernet Virtual Private LAN, is the carrier equivalent of Virtual Private LAN Service (VPLS). E-LAN allows three or more sites to exchange data directly with each other. This is suitable for organisations with distributed branches requiring consistent performance between sites.

E-LAN

E-LAN Carrier Ethernet showing any-to-any connections across a provider's network

 

E-Tree (rooted-multipoint/hub-and-spoke)

E-Tree connects a central site to multiple sites, but the “leaves” (branch nodes) of the tree don’t exchange data directly. It’s commonly used in scenarios that require point-to-multipoint (P2MP) connectivity with strict traffic separation, such as data centre, enterprise and service provider networks.

E-Tree

E-Tree Carrier Ethernet connecting a central site to multiple sites across a provider's network, but the “leaves” (branch nodes) of the tree don’t exchange data directly

 

E-Access (network-to-network)

Designed for service providers, E-Access provides a local access connection to another carrier’s network via an external network-to-network interface (NNI). If you’re a service provider, it enables you to extend Ethernet services beyond your own footprint, for example, to reach off-net customer locations in last-mile scenarios.

E-Access

E-Access Carrier Ethernet connecting an operator's network to another provider's network

 

For instance, at Neos Networks we provide point-to-NNI (P2NNI) E-Access connectivity, enabling you to connect multiple sites back to your network as efficiently as possible.

A subset of E-Access, Transit E-Access, allows a network service provider to hand off traffic to another operator without using an external NNI.

How does Carrier Ethernet work?

Carrier Ethernet works by using standard Ethernet protocols to deliver high capacity connectivity over a telecom provider’s managed network. It combines Ethernet with carrier-grade standards to ensure scalability, reliability and Quality of Service over longer distances.

Carrier Ethernet standards

First standardised in 1983 as IEEE 802.3, Ethernet initially used coaxial cables to transmit data at a maximum of 10Mbps across LANs up to around 500m. As demand for Ethernet-style simplicity grew beyond local area networks, service providers began delivering Ethernet over fibre networks in a metropolitan area, a model known as Metro Ethernet.

Founded in 2001, the Metro Ethernet Forum (MEF) introduced a set of global standards for Metro Ethernet. In time, these evolved into Carrier Ethernet, which delivers high-bandwidth data transmission over longer distances – regional, national or international wide area networks.

Building on IEEE Ethernet standards, Carrier Ethernet adds MEF-defined features, including:

  • Standard service types like E-Line, E-LAN, E-Tree and E-Access
  • Guidelines for traffic management to ensure Quality of Service
  • Operations, Administration and Maintenance (OAM) standards for fault management and performance monitoring
  • Service-level agreements (SLAs) to ensure performance, uptime and support

These standards ensure Carrier Ethernet delivers the scalability and reliability needed for business-critical networks, whether connecting sites within a city or across regions and countries.

Carrier Ethernet vs Metro Ethernet: what’s the difference?

Put simply, Metro Ethernet refers to Ethernet services delivered within a metropolitan area, while Carrier Ethernet supports Ethernet connectivity across larger networks, with added scalability and service assurance.

Metro Ethernet can be delivered using proprietary technologies or based on MEF Carrier Ethernet standards. When delivered to MEF specifications, it’s a subset of Carrier Ethernet, offering the same performance, scalability and interoperability over a metropolitan area network (MAN).

Here’s a summary of how they differ:

Metro Ethernet vs Carrier Ethernet

Metro Ethernet Carrier Ethernet
Geography Typically limited to a metropolitan area Designed for metropolitan, regional, national or international networks
Service types Can support MEF-defined services like E-Line and E-LAN Always supports MEF-defined service types
Scalability Scalable for local or metro-scale connectivity Highly scalable to support wholesale and multi-site enterprise networks
Management MEF-compliant services may include SLAs and monitoring Managed service with SLAs, performance guarantees and OAM
Interoperability May be limited if proprietary; MEF-compliant networks support interoperability Designed for full multi-vendor, multi-operator interoperability
Typical uses Connecting sites within a metropolitan area or city-wide campus Connecting sites across cities, regions or countries

 

While both Metro Ethernet and Carrier Ethernet support high-speed connectivity, Carrier Ethernet offers greater scalability. It supports higher bandwidths, wider geographic reach and more advanced service options for large-scale enterprise and wholesale use.

What are the benefits of Carrier Ethernet for businesses?

Whether you’re connecting two locations or building a multi-site network, Carrier Ethernet offers a high-performance, cost-effective alternative to legacy WAN technologies. Here are some of its key advantages:

  • High bandwidth: Scalable speeds from 10Mbps to 100Gbps
  • Scalability: Easy to add bandwidth or connect new sites as you grow
  • Flexibility: Supports point-to-point, multipoint and hybrid network topologies
  • Cost efficiency: Typically lower cost than traditional WAN technologies like MPLS or leased lines
  • Reliability: Built-in redundancy, Quality of Service guarantees and SLAs for uptime and performance
  • Interoperability: Based on open standards that support integration across providers, networks and equipment vendors.

From large enterprises to public sector bodies, many organisations use Carrier Ethernet to support mission-critical connectivity across multiple sites.

Who uses Carrier Ethernet?

A wide variety of sectors rely on Carrier Ethernet to connect locations and users with consistent performance. Typical users include:

  • Enterprises: connecting branch offices, data centres and cloud services
  • Service providers: extending reach and delivering managed Ethernet services
  • Retail chains: linking stores, warehouses and payment systems
  • Media companies: transmitting live video across production and post-production sites
  • Financial services: enabling secure, low latency connectivity between offices, data centres and trading environments
  • Public sector: supporting secure, private networks for health care, education, local authorities and government departments

Whether supporting core business systems, cloud access or remote site connectivity, Carrier Ethernet underpins a wide range of business-critical networks.

Carrier Ethernet solutions

At Neos Networks, we deliver high capacity, fully managed Carrier Ethernet services designed for your business across our extensive UK-wide fibre network. Our Business Ethernet solutions are scalable, resilient and backed by stringent SLAs – built to support your most business-critical operations.

Speak to one of our experts to discuss your options. Whether you’re looking to connect data centres, branch offices or dispersed sites, we’ll be happy to make Ethernet work for you.

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Carrier Ethernet FAQs

  • Is Carrier Ethernet secure?

    Yes, Carrier Ethernet services are typically delivered over dedicated connections operating in Layer 2 (Data Link Layer) of the OSI model. That means they’re physically separate from the public internet, making them highly secure for sensitive business data.

     

  • Can you use Carrier Ethernet to access the internet?

    Yes, Carrier Ethernet can be used to deliver Dedicated Internet Access (DIA), a private, high-speed, uncontended connection between your premises and the internet.

  • How does Carrier Ethernet compare to MPLS?

    Carrier Ethernet is a Layer 2 service providing high capacity, point-to-point or multipoint Ethernet connectivity over a managed service provider network. In contrast, MPLS (Multiprotocol Label Switching) operates between Layers 2 and 3 (Data Link and Network layers) and routes data using labels rather than traditional IP addressing. Carrier Ethernet is a simpler, cost-effective solution for high-performance site-to-site connectivity, while MPLS is better for larger or more complex networks requiring advanced traffic engineering and routing. However, providers may use MPLS in their core networks to help transport Carrier Ethernet services across longer distances or between dispersed sites.

  • Does Carrier Ethernet support Quality of Service (QoS)

    Yes, Carrier Ethernet supports QoS, allowing you to prioritise traffic to ensure consistent performance for your critical services. However, MPLS typically offers more advanced QoS with more granular control over traffic classes and routing for more complex, large-scale networks.

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Core network vs access network: what’s the difference?

Learn how core networks differ from access networks, and why choosing the right architecture is key to fast, reliable business connectivity.

Neos Networks | 1 May 2025
Core network cables

At a high level, communications networks can be divided into three broad segments: core, regional and access networks. We explain how they differ and why it matters for your business’s connectivity.

What is a core network?

A core network, also known as a backbone network, transports massive data volumes over long distances at extremely high speed. It connects regional and international data centres, internet exchanges and large-scale service providers.

Core networks use technologies like optical connectivity and DWDM for long-distance, high capacity data transmission, while protocols like MPLS and BGP manage traffic and routing. The prime example of a core network is the internet backbone, which spans continents and links major global network operators.

What is a regional network?

A regional network, also known as the “middle mile”, acts as a bridge between national core networks and local access networks. It transmits data between regions and cities, connecting smaller network operators, mobile networks and large enterprise sites to each other, regional data centres or the wider internet.

Regional networks use high capacity optical fibre links and technologies like Carrier Ethernet, optical networking and IP/MPLS to manage traffic efficiently. They provide regional data centre interconnects, connect Altnet networks, and deliver backhaul for fixed and mobile networks.

What is an access network?

Also known as the “last mile”, an access network is the final stretch of a telecoms network that connects your premises to your service provider’s infrastructure. Last-mile connections typically use fibre optic, coaxial or copper cables, with 4G/5G radio, P2P microwave radio, or satellite links used in mobile networks or remote locations without fixed-line access.

With FTTP or FTTC business broadband, the last mile is typically a contended passive optical network. That means bandwidth is shared with other users, and your internet speeds may fluctuate. In contrast, most high capacity business networks use Ethernet or DIA leased lines to provide uncontended access, consistent speeds and improved reliability.

Core network vs access network: what’s the difference?

In short, core networks are high-speed backbone networks transporting data over long distances, while access networks are local, connecting end users to network service providers.

Core networks are built for speed and resilience, prioritising high capacity links and redundancy. By contrast, access networks are typically designed for coverage and cost-efficiency, often using contended infrastructure, especially in consumer networks. However, business-grade access networks use leased lines and Ethernet services to provide dedicated, uncontended connectivity with guaranteed performance.

Here’s a summary of how they differ:

Core network vs access network

Core network Access network
Function Provides high-speed data transmission across long distances Connects end users to the service provider’s network
Geographic area National and international – connecting cities, countries and continents Local – connecting buildings, streets and neighbourhoods
Capacity Very high to transport high aggregated data volumes Lower, designed for individual or small group usage
Technology Optical connectivity, DWDM, MPLS, BGP FTTP/FTTC, DSL, leased lines, Ethernet, 4G/5G, P2P microwave radio
Topology Often uses mesh or ring architecture for redundancy and resilience Typically uses star or bus topology for simplicity and low cost
Users Primarily serves ISPs, data centres, large enterprises and other major network operators Links individual businesses, homes, and mobile devices, as well as Altnet networks at exchanges
Ownership Often owned by large telecom companies or governments Can be owned by ISPs, mobile network providers, or local government
Priorities High capacity, low latency, reliability Accessibility, low cost, Quality of Service (QoS) for end users

 

As for the OSI model, core networks typically span the data link, network and transport layers (layers 2 to 4), using technologies like MPLS (often described as layer 2.5), IP routing and TCP/UDP protocols. On the other hand, access networks mainly operate in the physical and data link layers (1 and 2), although Dark Fibre can operate as an access network below these layers.

How does data flow between core and access networks?

Core, regional and access networks work together to connect end users to the internet, cloud platforms and business-critical services. Here’s a simplified breakdown:

  1. Core network: Carries large volumes of aggregated traffic over long distances, linking to national backbones, internet exchanges, cloud platforms and data centres.
  2. Regional network: Transports traffic across towns, cities or regions, aggregating data between access and core layers.
  3. Access network: Connects your premises or end-user devices to the nearest cabinet, exchange, point of presence or base station.

Core network vs regional network vs access network

Diagram showing core networks vs access networks and the role of regional networks

 

Together, they provide the connectivity your business needs – linking sites, cloud services and the wider internet.

Why network architecture matters for your business

Understanding the roles of core, regional and access networks is vital when choosing the right connectivity for your business. Not all networks are created equal. Your provider’s network design and resilience determine how reliably your sites interconnect, access the internet and run the real-time applications your business relies on.

First, does your provider operate a resilient, high capacity core network built for low latency critical business applications? A robust core network is essential for site-to-site connectivity and seamless access to the internet and cloud services.

Second, does your provider offer nationwide reach and a choice of last-mile providers to deliver the best connection where you need it? This helps ensure reliable, cost-effective connectivity at every site, including remote or harder-to-reach locations.

Ultimately, you need to determine your business’s priorities – capacity, latency, resilience or reach – and ask the right questions when evaluating providers.

Connectivity you trust, built for your business

At Neos Networks, we deliver high capacity, low latency connectivity for UK businesses of all sizes. As a Critical National Infrastructure provider with the UK’s largest business-dedicated fibre network, we deliver always-on networks for organisations nationwide.

Whether you need Dedicated Internet Access, Business Ethernet, Optical Wavelengths or Dark Fibre, we’ll design a network tailored to your needs and scalable for long-term growth.

Want to explore your options?

Speak to an expert

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Let’s make connectivity work for your business.

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How can Altnets transition from disrupting to defining the UK connectivity market?

We spoke to 100 senior decision-makers at UK-based Altnets to find out.

Neos Networks | 1 May 2025
UK network map

Executive summary

As a vital part of the UK’s connectivity landscape, Altnets have been a positive disruptive force, challenging long-reigning incumbents. The billions they’ve attracted in investment have been instrumental in accelerating the UK’s fibre rollout, spurring new fibre builds across the country. Since their inception in 2018, Altnets have now made fibre available to over 40% of UK premises, contributing to the UK's full-fibre broadband rollout, which is set to reach 96% of homes and businesses by 2027, according to Ofcom.

But with increased competition in the market and the right incentives from government, the incumbents have also doubled down on their efforts to deploy fibre-to-the-premises (FTTP). The result is that many Altnets are now struggling to generate the revenue needed to ensure longer term sustainability. Consolidation is starting to pick up speed as investor caution increases in the face of lagging customer growth.

Simply put, the Altnet market has reached a critical juncture. Neos Networks spoke to Altnets across the UK to investigate the challenges they currently face in the market and the different strategies they’re exploring to redefine themselves as mainstays in the UK’s connectivity landscape.

The Altnet squeeze: navigating competition, capital constraints and regulation

Overbuild and increased market competition (challenge 1)

The competition with incumbents has often been a race to see who can build new fibre the fastest. As incumbents seek to maintain their market share and Altnets seek to grow theirs, the UK has become a patchwork of network overbuild. In many areas, premises can choose between three or even four providers for their fibre.

In these decisions, incumbents have the upper hand. While passing homes might have been the initial goal for Altnets, getting customers to sign up to these services is another challenge. Incumbents are buoyed by historic brand equity, making it harder for Altnets to compete, with 34% of Altnets suggesting brand awareness is the greatest challenge getting in the way of their goals.

In many cases, it comes down to who got there first. 55% of Altnets said that customers being locked into existing contracts was a significant struggle for them, limiting their ability to generate subscribers where they’ve built their networks. Understandably, consumers are accustomed to providers like BT, Sky or Virgin Media, and switching to an unfamiliar provider can sometimes feel like an unnecessary hassle or even a risk.

Despite initiatives like the One Touch Switch scheme being introduced to simplify ISP switching, it still doesn’t solve the issue entirely. With so many customers preferring to bundle broadband with other services like TV and mobile, switching to a broadband-only Altnet provider seems like a step backwards. It’s here again that the market power of the incumbents comes into play, with their pre-existing relationships allowing them to super bundle services across entertainment, gaming, fitness and more through a single subscription.

Altnet's main challenges

Financial pressures (challenge 2)

The tough economic conditions affecting the wider market have been similarly tough on Altnets. Build costs have been steadily rising as they’ve continued expanding their footprints, making customer acquisition even more vital.

Where funding may have previously been more accessible, investors too are turning their attention towards take-up as the key measure of ROI, causing a hesitancy to invest further. As a result, nearly half of Altnets (46%) said that it’s become more challenging to access funding over the past year.

Altnet bar chart showing how difficult it is to secure financing

High interest rates are only exacerbating this challenge, with 48% of Altnets citing them as a primary reason behind their struggle for funding. Regulatory constraints (41%) and strict lending criteria (41%) were also significant barriers as Altnets look to secure financing.

Altnets bar chart showing barriers to securing finance

Apart from the inflationary pressures impacting build and the difficulties accessing funding, our research revealed another notable financial challenge. As BT continues to reduce the number of PSTN exchanges in use over the next decade, Altnets reliant on these locations face gaps being left in their networks – gaps that will be costly to close. On average, Altnets reported that the closures will cost them £1.4m (see appendix), according to our findings.

Regulation (challenge 3)

According to our research, regulatory barriers (38%) remain the most cited external factor hindering Altnets from achieving their wider goals.

The regulatory picture continues to evolve with the new Telecoms Access Review published for 2026-31. However, in aiming to balance investment with competition, Ofcom has recognised (and sought to remedy) the significant market power of Openreach, while also supporting market conditions in which they have traditionally taken advantage of this monopolised position.

 

“Our Altnet partners have been very clear about some of the structural challenges that deter competition and limit private investment in key regions. As an example, they’ve highlighted a tactic whereby Openreach announces FTTP expansion plans for specific areas without firm deployment timelines. This strategy discourages Altnets and investors from committing to those areas, as they fear being undercut by Openreach's rollout at a later stage. And in many cases, Openreach has then delayed or deprioritised those announced deployments.”

Lee Myall, CEO of Neos Networks

 

It’s easy to see how this stymies competition and could slow down nationwide coverage targets.

But beyond this, the Independent Networks Cooperative Association (INCA) has also raised concerns in a number of other areas, including inaccurate estimates of Altnet costs impacting fairness and competition calculations. They’ve also alleged that Openreach has purposefully overbuilt in areas where Altnets have been awarded Project Gigabit contracts to take advantage of the attention to pick up customers.

INCA continues to raise a number of such concerns about Openreach’s market advantage, reporting claims of favourable pricing being given to internal customers and suggesting that Openreach’s “incumbent advantage” allows them to overbuild competitors. While INCA has suggested restrictions that could be introduced to limit Openreach’s advantage, any action will be a long time in the works. For the time being, Altnets will have to reckon with Openreach’s purported advantages.

Reshaping UK broadband: putting customers first

Even without the issue of overbuilding, as challengers to incumbents, Altnets were unlikely to ever compete individually from a reach perspective. At last count, Openreach covered 17 million premises, with the largest Altnet CityFibre trailing behind at coverage of 4.3 million premises.

Instead, they’ve taken a different approach, trying to change people's perceptions of connectivity providers. Where incumbents are often presented as faceless utility providers to their customers, Altnets have instead engaged directly with their local communities to put customer satisfaction at the heart of everything they do. They’ve made this such a central part of their strategies that 55% of the Altnets we surveyed say that improving customer satisfaction is their primary goal for the next few years – a motivation that ranked ahead of other, more revenue-critical objectives such as increasing customer subscriptions and driving operational efficiencies.

Altnets bar chart showing their main priorities over the next two years

This aim is evident in how Altnets have operated since they entered the market. Unlike incumbents, they’ve frequently partnered with local councils, hosted community events, and involved residents themselves in planning decisions as they considered their rollouts. The focus seems to have paid off so far: Altnets consistently have far better customer satisfaction scores when compared to legacy providers.

The customer-satisfaction imperative has been a critical differentiator and successful strategy to pin their hopes to, but as Altnets look to the future at what seems like a critical juncture, we wanted to look at how this focus might be evolving as they mature.

However, while the customer-first approach has served Altnets well, our survey suggests a recognition that to achieve long-term success in the market, a strong dedication to customer service alone isn’t enough. The Altnets we spoke to are exploring varied and diverse strategies that seek to marry that customer-centric approach with strategic expansion and vital tech-driven innovation.

Partnering for long-term success

In keeping with the industry expectations of consolidation, partnerships of varying descriptions were a popular move for the Altnets we spoke to. In fact, the overwhelming majority (96%) reported that they're planning partnerships with other service providers to expand their reach.

It’s clear that they recognise a customer-first approach can only take you so far in their struggle to grow customers. For those looking to expand their customer base at pace, partnerships are by far the easiest route. So it makes sense that for over half (52%) of Altnets, accelerating customer growth was their main motivation for pursuing partnerships.

Many Altnets may have started out specialising in fibre built-outs in specific, underserved areas, but with full-fibre coverage now reaching 7 out of 10 households, it’s clear this strategy has limitations. Altnets recognise this, with 43% highlighting expanding geographic reach as a major driver behind their partnership efforts. With increasingly limited regions left in the UK without coverage, accelerating new fibre builds no longer make sense as a viable commercial strategy. Instead, expanding into new areas through partnerships with existing providers is becoming a far more attractive option to expand reach whilst minimising risk.

Alnets bar chart showing the number of Altnets considering merger or acquisition

Scaling their networks – and with that, their customer base and profitability – is a clear and feasible solution. But, as our research shows, there are several barriers that Altnets need to surmount to get there. Incumbent rollout competition (20%), technology access (27%) and deployment resources (19%) were all identified as significant blockers to network expansion.

Altnets bar chart showing their main barriers to scaling

Many are turning to established service providers, with 56% planning to partner with them. And understandably so. This has already been successfully demonstrated by CityFibre and TalkTalk, who first partnered to allow TalkTalk to sell consumer broadband via CityFibre’s network, before expanding to include Ethernet. This ongoing partnership has unlocked an additional 100 locations for TalkTalk, extending their reach while allowing CityFibre to further monetise their network investments.

Another route for Altnets is to partner with wholesale providers to expand their reach – connecting disparate networks and backhaul traffic. 48% of Altnets are already considering this. Some may be looking to extend their own reach, while others may seek to connect their acquired footprints together following acquisitions or mergers. By working with a core or transport partner, Altnets can continue to offer the same agility, flexibility and support that their customers have come to expect, making it a popular option.

Neos Networks-LightSpeed case study

Partnering with a wholesale network provider is a strategy many Altnets have already found success with, as demonstrated by Neos Networks’ partnership with LightSpeed. The Altnet was looking to expand its FTTP to additional premises across the Midlands and East of England and turned to Neos to leverage its UK-wide network. With access to Neos’ infrastructure, LightSpeed is able to connect to premises at pace while maintaining its connectivity quality and driving sign-ups.

Altnets bar chart showing the number of Altnets considering various kinds of partnerships

However, partnering with external providers always carries some risk. For Altnets, finding a similar cultural ethos and technical synergies will be essential. Having built their reputations as customer-service-focused providers, Altnets will need partners with the same dedication. If not, they could extend their reach but at the expense of their reputation, making it a questionable endeavour. In this vein, you might expect Altnets to partner closely with their peers, yet only 36% plan to partner with other Altnets.

Why is this? Bain & Company estimate that a fibre network requires a take-up rate of 35% to be commercially viable long-term. And with over 100 Altnets active in the UK at last count, the maths simply doesn’t add up. Last year, the Altnet average take-up was just 15%. While other Altnets might be the perfect cultural fit, there isn’t room for everyone in this new consolidated market.

Standing out to stay ahead

Establishing productive partnerships, or merging with another provider, is a sure-fire way to extend reach, but growing average revenue per user (ARPU) is equally important. Ultimately, many are exploring methods to further differentiate themselves, offering top-end technology or even packaging additional services.

Becoming an Altnet-of-all-trades

When asked what their main long-term ambition was as a company, aspiring to become multi-service providers beyond just broadband came out on top.

Bar chart showing Altnets long-term ambitions

Altnets recognise that, apart from network expansion and integration, to gain additional market share they will also need to differentiate themselves beyond their customer service credentials. For most, brand awareness is one of the major barriers, but by branching out beyond residential broadband, they can differentiate their services, unlock new revenue opportunities and encourage loyalty.

Many are already looking to deploy additional products and services. Expansions into smart home tech (46%), enterprise connectivity (43%), and security (42%) ranked as the most common services that Altnets are looking to implement in the future.

Security offerings (40%), and 5G Fixed Wireless Access (39%) are also seen as major areas of innovation for Altnets.

Altnet bar chart showing the services Altnets are providing to differentiate themselves in the market

Community Fibre case study

One provider already putting this strategy into action is Community Fibre:

  • Currently offers several broadband, TV/streaming and security bundles.
  • Saw an 85% increase in its customer base last year, bucking the Altnet trend.
  • Continues to keep a customer-first focus, with three times more 5* Trustpilot reviews than VMO2, Sky and BT combined.

Network technology for a competitive edge

Perhaps unsurprisingly, when asked what technologies they were using to help differentiate themselves from their competitors, most respondents said they were deploying Software-Defined Networking and Network Function Virtualisation (53%). This technology-driven approach gives Altnets a competitive edge by enabling cost-efficient, agile and scalable network operations, while the incumbents are often locked into legacy infrastructure.

As the top technology-related investment priorities focus on agility, private networks and/or security offerings (40%), 5G Fixed Wireless Access (39%) and AI/ML-enabled BSS/BSS automation and/or personalisation (38%) are not far behind. However, these priorities also reflect a broader shift towards technologies that better align with customer preferences.

Altnets bar chart detailing what technologies Altnets are using to differentiate themselves

Conclusion: a critical juncture for the future of UK connectivity

Altnets have been a driving force in transforming the UK’s connectivity landscape, accelerating the full-fibre rollout and challenging long-standing incumbents. However, the market has now reached a critical juncture. With intensifying competition, financial pressures and evolving regulatory frameworks, it’s clear that Altnets will need to adapt swiftly to secure their long-term position.

Thankfully, as our research pointed out, Altnets are trialling a range of solutions – from embracing strategic partnerships and leveraging wholesale opportunities to expand their reach and build sustainable growth, to technology and service differentiation while prioritising a continued commitment to customer experience – to move beyond their disruptor roles.

The decisions made now will define the future of UK connectivity. Altnets that evolve, integrate and innovate will not only endure but help shape the next era of digital infrastructure. By adapting their strategies and working together, they can transition from challengers to essential pillars of the UK’s broadband ecosystem, ensuring they stay at the heart of UK connectivity while delivering the choice and service consumers expect.

Methodology

Neos Networks commissioned Censuswide to survey 100 senior decision-makers at UK-based Altnets. The survey was commissioned in January 2025.

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What is last-mile connectivity and why is it important for your business?

The final leg of your network connection is crucial for your business. Learn more about last-mile connectivity and how to choose the right provider.

Neos Networks | 26 March 2025
The last mile - view of a street

What is last-mile connectivity?

Last-mile connectivity is the final stretch of a telecoms network that connects your business to your network service provider’s infrastructure. For example, in a typical business Ethernet connection, the last mile is the dedicated fibre or copper cable that connects your premises to your service provider’s network or nearest point of presence (PoP). It’s critical for your business operations because the speed and reliability of your connection depend on it.

How does last-mile connectivity work?

The global network to which your business premises are connected can be divided into three broad segments:

  1. The internet backbone: The high capacity global network of fibre optic cables that forms the internet’s core infrastructure, connecting major data centres, ISPs and cloud services.
  2. The middle mile: The regional core or backbone network that transmits data between regions and cities.
  3. The last mile: The access network from your network service provider’s local infrastructure to your business premises.

Last-mile connections can use various technologies such as fibre optic, coaxial or copper cables. Wireless signals can also be used, especially for mobile networks or to reach remote areas without fixed-line infrastructure.

Contended connections

With FTTP or FTTC business broadband, the last mile is typically a contended passive optical network, where bandwidth is shared with other users. Your internet speed may fluctuate, causing potential slowdowns and interruptions at peak times.

In contrast, most high-capacity business networks use dedicated connections to ensure consistent speeds, low latency and greater reliability.

Dedicated connections

Dedicated connections avoid broadband bottlenecks in the last mile. They use high-capacity Ethernet and optical connectivity to provide a reliable, uncontended connection to your business.

For example, Dedicated Internet Access (DIA), also known as a leased line, provides a direct, private connection to your local area network (LAN) or wide area network (WAN), giving your business access to the internet.

Leased line

Diagram showing how a leased line connects directly to a business local area network or wide area network, providing access to the internet.

 

Unlike standard broadband, you don’t share bandwidth with other customers, and your upload/download speeds are guaranteed, typically up to 10Gbps.

Learn more about DIA vs broadband

For higher capacities, Ethernet can deliver dedicated connections up to 100Gbps, while optical connectivity services can reach 400Gbps or higher. With DIA, Ethernet and optical services, the dedicated last-mile segment is known as a local access tail.

Dedicated connections include service level agreements (SLAs) guaranteeing uptime and fault resolution times. They also offer features like Resilience Option 2 (RO2) – delivering dual Ethernet services with diverse routing end-to-end – to maximise resilience in the last mile.

Why is the last mile crucial for your business?

The last mile is critical for your business because your connection is only as good as the last mile – your network’s speed and reliability depend on it.

First, a slow or congested last-mile network can reduce speed and increase latency, disrupting video conferencing, cloud applications and real-time transactions. Fast, reliable last-mile access is essential to maintain productivity and user experience for your staff and customers.

Second, unreliable last-mile connections can lead to network outages, significantly impacting business operations. In 2023, UK businesses were hit by 50.5 million hours of internet downtime, resulting in an estimated financial loss of £3.7bn.

In short, the last mile dictates the internet speeds you get, and it can be a single point of failure for your communications.

Last-mile connectivity challenges

If you’re looking to upgrade your business’s connectivity or extend your footprint across the UK, choosing the right last-mile solution presents several challenges:

  • Legacy infrastructure: While full fibre connectivity is being rolled out across the UK, a significant urban/rural divide remains. In 2024, 84% of small and medium-sized enterprises (SMEs) in urban areas of England had access to gigabit-capable coverage compared to 53% of SMEs in rural areas.
  • Limited choice: Many major network providers only offer their own last-mile access tails. This can mean less flexibility and higher costs when you need scalable or multi-site connectivity.
  • Lack of redundancy: Relying on a single last-mile connection leaves your business vulnerable to outages, maintenance or damage. Diverse routing ensures backup paths to prevent disruptions and keep your operations running.
  • Poor customer service: Arranging last-mile installations can be challenging, especially with large providers. Slow lead, deployment and support response times can leave you and your customers waiting for a business-critical connection.

While the last mile can be a challenge, the right provider can help you secure a fast, resilient and scalable connection that meets your business needs.

Choosing the right last-mile connectivity provider

If you’re looking to upgrade your business connectivity, here’s what to look for when evaluating last-mile providers.

Choice of last-mile access

A provider with multiple last-mile options allows you to select the best speed, reliability and cost for your business. Choose a company that offers various local access tails, not just their own.

Scalability for growth

Your provider should be able to scale up your connection, whether you need to boost bandwidth or add new locations. Choose a provider with the reach and flexibility to expand your network as you grow.

Redundancy and resilience

Look for a provider with an extensive and reliable core network with options for redundancy and resilience in the last mile. Features like bespoke diverse routing and RO2 can help to eliminate single points of failure.

Guaranteed performance

Check your provider has stringent SLAs. Resilient services like Ethernet with MPLS routing should offer at least 99.9% uptime guarantees, quick fault resolution and compensation for failures.

Customer support

Finally, many large providers often have long lead times and slow support. Coordinating the installation and maintenance of your last mile can be a headache. Choose a trustworthy provider with a reputation for customer service and easy online quoting and ordering.

Last-mile connectivity solutions

At Neos Networks, we pride ourselves on connecting the most complex locations with bespoke customer service across the UK. We deliver critical networks for businesses nationwide with last-mile access you can trust, giving you:

  • Network reach: Connect across our UK-wide B2B-only core network.
  • Choice: Choose between various third-party access tails, including Openreach, BT Wholesale, Sky, PXC, CityFibre, Vorboss, Colt and Virgin Media Business.
  • Scalability: Scale up with DIA (10Mbps-10Gbps), Business Ethernet (10Mbps-100Gbps) or Optical Wavelengths (10Gbps-400Gbps+).
  • Resilience: Leverage our MPLS core network with multiple diverse peering providers plus RO2 options for maximum resilience.
  • Reliability: Get guaranteed bandwidth and up to 99.95% uptime SLAs.
  • Support: Enjoy 24/7 technical support and industry-leading customer service – leave the last-mile headaches to us.

Get a quick quote online for DIA, Business Ethernet or Optical Wavelengths with LIVEQUOTE, our digital pricing and ordering tool:

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Or if you want to discuss your options, get in touch. We’ll be happy to make last-mile connectivity work for your business.

Last-mile connectivity FAQs

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Leased line vs business broadband: which is right for your business?

Do you need a dedicated internet connection, or is shared business broadband enough?

Neos Networks | 27 February 2025
Laptop and user showing high-speed internet test

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What is a leased line?

A leased line, also known as Dedicated Internet Access (DIA), is a private, high-speed connection between your business premises and the internet. It links your local area network (LAN) or wide area network (WAN) directly to the internet via your telecom provider. Unlike shared networks, it guarantees the full bandwidth you pay for, ensuring reliable performance.

What is business broadband?

Business broadband is a high-speed internet connection designed for commercial use. It usually offers better performance, reliability and support than home broadband. But like home broadband, it shares bandwidth with other users, so your speed and bandwidth can vary.

7 differences between a leased line and business broadband

A leased line offers better performance, reliability and service levels than business broadband. Here’s a breakdown of how they compare.

1. Speed

Leased lines offer much higher speeds than broadband, typically ranging from 10Mbps to 10Gbps. In addition, they’re usually synchronous or symmetric connections, meaning they provide identical download and upload speeds. By contrast, broadband is generally asymmetric, with download speeds up to 1Gbps and upload speeds up to 220Mbps, depending on the service.

2. Bandwidth

As a leased line is an uncontended connection exclusively for your business, you don’t share bandwidth with other users, so you’re guaranteed the bandwidth you pay for. However, broadband is a contended line shared with other users, resulting in lower speeds during peak periods.

3. Latency

Since leased lines are uncontended, they have consistently low latency, making them ideal for real-time applications like voice calls, video conferencing and financial transactions. Conversely, broadband’s shared connections are prone to network congestion, resulting in higher and less predictable latency that can disrupt time-sensitive tasks.

4. Reliability

A leased line is inherently reliable and stable because it’s a high capacity fibre optic connection. It’s also backed by strict service level agreements (SLAs), guaranteeing uptime and fault repair times with 24/7 support. In contrast, broadband often relies on less reliable copper cables, with slower response times and fault resolution on a “best endeavours” basis.

5. Installation

As leased lines require a dedicated cable to your business premises, they take longer to install, typically around 30-90 days. On the other hand, business broadband uses existing, shared infrastructure, so it usually takes only 7-14 days to set up.

6. Cost

A leased line requires installing and maintaining a dedicated connection with 24/7 support, so it’s more expensive than broadband. Broadband runs on existing fibre infrastructure with lower levels of performance and support, so it’s a cheaper option.

7. Uses

With guaranteed speeds, low latency and high reliability, leased lines are ideal for organisations needing consistent, high-speed connectivity you can trust. By contrast, business broadband is a cost-effective option for smaller businesses or those that can tolerate fluctuations in network performance.

Here’s a summary of how the two compare:

Leased line vs broadband

Leased line Broadband
Connection type Uncontended point-to-point connection Contended line sharing bandwidth with multiple users
Speed Typically up to 10Gbps Typically up to 1Gbps/220Mbps
Bandwidth Symmetric guaranteed download/upload bandwidth Asymmetric download/upload bandwidth, depending on the package and available bandwidth
Latency Low and consistent Higher and variable depending on network traffic
Reliability Fibre optic connection with SLAs and 24/7 support to ensure maximum uptime and quick fault resolution Often with less reliable, copper-based connections with support typically on a “best endeavours” basis
Installation time 30-90 days 7-14 days
Cost Requires installation and maintenance, so it’s more expensive Runs on existing fibre infrastructure, so it’s cheaper
Suitable for Organisations requiring consistent, high-speed connectivity or those with critical online operations Smaller organisations or those that can tolerate fluctuations in network performance

 

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Leased line vs broadband: which is right for you?

Choosing the right internet connection for your business depends on your performance needs and budget. If reliability and speed are critical, a leased line could be ideal. But if costs matter more and you don’t mind occasional slowdowns, business broadband may be the better choice.

Consider a leased line if you:

  • Need a reliable, low latency, uncontended internet connection
  • Have multiple sites or remote teams needing reliable, high capacity connectivity
  • Run a data-sensitive business in industries like finance, e-commerce or health care
  • Rely on mission-critical cloud applications, video conferencing or large data transfers
  • Need 24/7 support and strict SLAs to minimise downtime

On the other hand, business broadband could be enough if you:

  • Have a team of fewer than 10 people with moderate internet usage
  • Need a cheaper connection for everyday tasks like emails, web browsing and cloud storage
  • Use basic cloud applications and can tolerate occasional slowdowns or downtime
  • Can manage with shared bandwidth and asymmetric download/upload speeds
  • Want a quick installation with minimal costs

However, if cost is your primary concern, consider the hidden impact of network disruptions with business broadband. Are slow speeds reducing productivity, or could outages hurt your bottom line and reputation? If so, investing in a leased line may pay off in the long run.

Leased line services

If you think a leased line could work for you, we can help. At Neos Networks, we deliver high-speed leased lines for organisations of all sizes across the UK. Our Dedicated Internet Access (DIA) services offer:

  • Scalable bandwidth from 10Mbps to 10Gbps
  • Stringent uptime SLAs with 24/7 technical support
  • Flexible last-mile connectivity and resiliency options
  • Fully managed DIA option with 5-hour equipment fix
  • Instant online quotes through LIVEQUOTE, our online pricing and ordering tool

If you want to explore your options, get in touch. We’ll be happy to make a leased line work for you.

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What is a leased line?

A leased line is a dedicated, fixed-bandwidth internet connection businesses rent from a telecom provider to ensure reliable, high-speed access to data. Unlike standard broadband connections, which are shared among multiple users, a leased line is a private connection, so your business has exclusive access to the bandwidth.

A leased line can connect any two locations. However, the term “leased line” usually refers to a point-to-point business internet connection, also known as Dedicated Internet Access or DIA. Here we explain how a DIA leased line works and how it can benefit your business.

How does a leased line work?

A leased line is a direct, private connection between your local area network (LAN) or wide area network (WAN) and your telecom provider, giving your business access to the internet.

Leased line

Diagram showing how a leased line connects directly to a business local area network or wide area network, providing access to the internet

 

Typically, a leased line uses technologies like fibre optic connectivity and Ethernet to deliver high-speed access to data and low latency. Because bandwidth is dedicated exclusively to your use, your connection is unaffected by network congestion, and your actual bandwidth to the internet is guaranteed.

In addition, leased lines are synchronous, meaning they provide equal upload and download speeds. This symmetrical bandwidth makes them ideal for supporting business-critical operations like connecting remote offices, VoIP, video conferencing and cloud-based services.

What are the benefits of a leased line for your business?

Leased lines offer various advantages that can significantly enhance your business operations. Here are some key benefits.

High speed

As leased lines have fixed bandwidth, you get consistent high-speed internet access even during peak usage periods. Their symmetrical upload/download speeds ensure seamless performance for real-time applications.

Reliability

The best leased line services have strict Service Level Agreements (SLAs) guaranteeing minimum performance levels. In addition, your network service provider should operate a resilient core network.

Scalability

Leased lines are usually highly scalable, allowing you to adjust bandwidth easily. Good leased line providers allow you to gradually increment bandwidth as you grow, typically from 10Mbps to 10Gbps.

Security

As you don’t share bandwidth with other customers, you have more certainty over the availability of your internet access. In addition, you can order diverse circuits to protect your vital business sites from fibre breaks in the “last mile” connectivity.

Support

Maintaining uptime is essential for your business operations, and leased line providers should constantly monitor your connection. The best providers provide 24/7 customer service, proactively fix issues and guarantee fault repair times, minimising service disruption.

For example, with Neos Networks DIA, you have full control over your leased line, allowing your IT team to configure and manage your network as needed. Alternatively, our Managed DIA service includes full network management and 24/7 monitoring and technical support – ideal if you have limited IT resources.

Whichever option you choose, a leased line provides a fast, reliable service for your business-critical operations, ensuring your staff and customers get the best user experience.

Leased line vs broadband

A leased line, or Dedicated Internet Access, gives you much more than a standard business broadband service. Here’s a summary of how they differ:

Leased line vs broadband

Leased line Broadband
Connection type Uncontended point-to-point connection Contended line sharing bandwidth with multiple users
Bandwidth Symmetrical guaranteed upload/download bandwidth up to 10Gbps, depending on the package Asymmetrical upload/download bandwidth up to 1Gbps/220Mbps, depending on the package and available bandwidth
Reliability SLAs ensure maximum uptime and quick fault resolution Support is typically on a “best endeavours” basis, often with less reliable copper-based connections
Cost Requires installing and maintaining, so it’s more expensive Runs on existing fibre infrastructure, so it’s cheaper
Time to deploy 30-90 days 7-14 days
Best for Larger organisations requiring consistent, high-speed connectivity or those with critical online operations Smaller organisations or those that can tolerate fluctuations in network performance

 

Learn more about how DIA vs business broadband

Who is a leased line suitable for?

Leased lines are ideal for businesses that depend on reliable, high-performance internet connectivity to support critical operations. Examples include:

  • Medium to large enterprises: Larger businesses rely on leased lines to support critical operations across dispersed sites, including data sharing, collaboration tools and other cloud-based services.
  • Businesses relying on cloud services: As more businesses move to the cloud, a leased line delivers guaranteed bandwidth and low latency for collaboration tools, video conferencing and data backups.
  • Data-intensive industries: Leased lines provide the bandwidth and security for sectors processing high data volumes, such as media, manufacturing, health care and financial services.
  • Government agencies: Leased lines can ensure reliable internet connectivity for local and national governments to deliver essential services.
  • Education and research: Schools, colleges and universities use leased lines to communicate with students and staff and share data between institutions.
  • E-commerce: A leased line can provide reliable internet connectivity for online retailers to run their websites, manage customer accounts and ensure a consistent user experience for their customers.

Ultimately, whether your business needs a leased line depends on your needs and budget.

Is a leased line worth it for your business?

Do you have more than 10 people in your business? Do you rely on cloud services for critical operations? Are you in a data-intensive industry where a reliable, high-bandwidth internet connection is essential? Do you need stringent SLAs to ensure maximum uptime?

If so, a leased line could be a cost-effective solution. While it may cost more than broadband, the long-term benefits can easily outweigh the investment. If you have multiple remote offices, a leased line provides fast, reliable connectivity across your sites.

Leased line solutions

There are many leased line providers, and choosing the right one involves more than just comparing costs. Consider factors like network reach and infrastructure, bandwidth and scalability options, reliability and uptime SLAs and the quality of their customer support. Most importantly, can you trust them to deliver?

At Neos Networks, organisations across the UK rely on us to support their critical operations with Dedicated Internet Access (DIA), featuring:

  • Scalable bandwidth from 10Mbps to 10Gbps
  • High availability core network with 600+ PoPs and 90+ on-net data centres nationwide
  • Stringent uptime SLAs and 24/7 technical support
  • A choice of last-mile connectivity providers and resiliency options
  • Competitive pricing and quick quotes online with LIVEQUOTE, our online pricing and ordering tool

Choose between “wires only” DIA, where you have complete control over your connection, or Managed DIA (MDIA), protected by 24/7 monitoring from our network operations centre.

Dedicated Internet Access (DIA)

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What is the OSI model?

Discover how the model structures network communications into seven layers, how they work, and why it matters for networking.

Neos Networks | 13 December 2024
Showing the 7 layers of the OSI model stacked from top to bottom: Application, Presentation, Session, Transport, Network, Data Link and Physical layers

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What is the OSI model?

The Open Systems Interconnection (OSI) model describes how computer systems communicate across networks. Published by the International Organization for Standardization (ISO) in 1984, it divides communications into seven layers, providing a common basis for developing networking standards.

It’s a reference model, a conceptual framework that outlines the structure and relationship between a network’s components without prescribing specific implementation methods. It provides a universal language for network operators, developers, and students to understand, design and implement complex networks.

The 7 layers of the OSI model

The OSI model organises network communications into a stack of seven layers:

  1. The Physical Layer
  2. The Data Link Layer
  3. The Network Layer
  4. The Transport Layer
  5. The Session Layer
  6. The Presentation Layer
  7. The Application Layer

Each layer performs a specific function and interacts with the layers above and below, ensuring efficient data transmission. Typically, the layers are listed from top to bottom (7 to 1) to reflect the data flow during communication, starting from the user’s application at the Application Layer and moving down to the Physical Layer.

7 layers of the OSI model

Showing the 7 layers of the OSI model stacked from top to bottom: Application, Presentation, Session, Transport, Network, Data Link and Physical layers

 

Here’s a breakdown of the seven layers and their roles in a network.

7 layers explained

# Layer Function
7 Application Layer Interacts directly with end users through applications like email clients and browsers. It includes protocols like SMTP for email, HTTP for web browsing and FTP for file transfers.
6 Presentation Layer Translates data between the Application Layer and the lower layers. This includes data formatting, encryption and compression.
5 Session Layer Starts, maintains and ends connections between devices. It also coordinates data exchange and synchronisation.
4 Transport Layer Uses transport protocols like TCP and UDP to transfer data between end systems. It divides data from the Session Layer into segments, ensuring flow control and error correction.
3 Network Layer Handles the routing of data across multiple networks, determining the optimal path for transmission. Protocols like the Internet Protocol (IP) break data into packets and use IP addresses to deliver them to their destination.
2 Data Link Layer Manages communication between physically connected nodes on a network. It packages data from the Network Layer into frames and ensures reliable transfer between devices over the physical medium.
1 Physical Layer Transmits and receives raw data (ones and zeros) as electrical signals, light pulses or radio waves over physical media. It includes hardware like cables, fibre optic equipment and wireless transmitters or antennas.

 

How does the OSI model work?

When data is transmitted over a network, it moves sequentially through the seven layers, from the Application Layer at the top to the Physical Layer at the bottom.

For example, here’s what happens when you send an email:

  1. You write a message in an email app like Gmail or Outlook and click “send”. The email client uses a protocol like SMTP to process your message (Application Layer).
  2. The email client formats your message for transmission, including encryption if enabled (Presentation Layer).
  3. A session is established between your device and the email server to manage the ongoing data exchange (Session Layer).
  4. The email data is divided into smaller segments for transmission, and protocols like TCP and UDP ensure they’re delivered reliably (Transport Layer).
  5. The email segments are assigned source and destination IP addresses to be routed across the network (Network Layer).
  6. The IP packets are encapsulated into frames to be transmitted over the local network (Data Link Layer).
  7. The frames are converted into electrical, optical, or wireless signals and transmitted through a physical medium like a network cable or Wi-Fi (Physical Layer).

At the receiving end, the process is reversed: the data travels up from the Physical Layer to the Application Layer, reconstructing the email for its recipient.

OSI model vs TCP/IP model

Another significant networking framework is the Transmission Control Protocol/Internet Protocol model (TCP/IP), also known as the Internet Protocol Suite. Unlike the OSI model, which is primarily theoretical, TCP/IP is a practical framework designed specifically for implementing internet communications.

Initially developed for the US military’s ARPANET, the forerunner of the internet, the TCP/IP model consists of just four layers:

  1. The Application Layer combines the functions of OSI’s Application, Presentation and Session layers, managing high-level protocols and user interactions.
  2. The Transport Layer uses protocols like TCP and UDP to ensure data transfer between end systems, like OSI’s Transport Layer.
  3. The Internet Layer manages addressing and routing using the Internet Protocol, like OSI’s Network Layer.
  4. The Link Layer handles data transmission over physical media, like cables and Wi-Fi, combining the functions of OSI’s Physical and Data Link layers.

OSI model vs TCP/IP model: comparing layers

Showing the 7 layers of the OSI model (Application, Presentation, Session, Transport, Network, Data Link and Physical) and how they correspond to the 4 layers of the TCP/IP model (Application, Transport, Internet and Link)

 

Here’s a summary of the main differences between the two:

Feature OSI model TCP/IP model
Layers Seven: Application, Presentation, Session, Transport, Network, Data Link and Physical Four: Application, Transport, Internet and Link
Development Developed by the International Organization for Standardization (ISO) Originally developed by the US Department of Defence (ARPANET) and maintained today by the Internet Engineering Task Force (IETF)
Use A reference model used to standardise general network communications A practical model used to implement internet communications

 

In short, the OSI model is a comprehensive theoretical framework that standardises network communications without relying on specific protocols. In contrast, TCP/IP is a simpler, practical model that defines and supports the implementation of internet protocols.

While the TCP/IP model is more widely used in practice because it underpins the internet, the OSI model remains significant.

Why is the OSI model important?

Although theoretical, the OSI model provides a detailed understanding of fundamental network architecture, making it valuable for several reasons:

  • Standardisation and interoperability: The model provides a universal framework, promoting the development of interoperable protocols and devices.
  • Troubleshooting and security: The multi-layered structure allows administrators to identify and fix technical or security failures in their specific layers without disrupting the others.
  • Education and design: It’s a foundational model for IT professionals and students to share knowledge about network architecture and adapt networks for the future.

OSI model disadvantages

Despite its value, the OSI model has its limitations. First, real-world networking technologies don’t always fit neatly into its framework, and the functions of its layers can sometimes overlap in practice.

In addition, its comprehensive nature can make it overly complex for practical use. The simpler, more practical TCP/IP model has largely supplanted the OSI model, especially for internet communications.

However, the OSI model remains a fundamental theoretical framework. Whether you're a network professional, student, or tech enthusiast, it provides valuable insight into the complex world of computer networking.

Making connectivity work

At Neos Networks, we use the OSI model to visualise complex networks and make connectivity work for businesses across the UK.

For example, optical wavelengths operate in the Physical Layer (layer 1), enabling high-bandwidth data transmission across fibre optic networks. In contrast, Ethernet primarily functions at the Data Link Layer (layer 2) but also defines standards for some layer 1 components, like cables and connectors.

If you’re looking to supercharge your business with high capacity connectivity for the future, get in touch. We’ll be happy to make connectivity work for you.

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OSI model FAQs

  • How is the OSI model used in real-world networking?

    The OSI model is a guide for designing, implementing, and troubleshooting network protocols and architectures. Although the TCP/IP model is more widely used in practice due to its crucial role in the internet, the OSI model helps us visualise and understand complex networking processes.

  • What role do protocols play in the OSI model?

    Protocols establish the rules and standards for communication within each layer of the OSI model. But the model isn’t tied to any specific protocol. Each layer can use various protocols, which can evolve independently without disrupting the model’s overall structure.

  • What is data encapsulation in the OSI model?

    Encapsulation is the process of adding extra information (headers and trailers) to data as it moves from layer to layer of the OSI model. This ensures that each layer can correctly interpret and transmit the data across the network. At the receiving end, this is reversed: each layer removes its header or trailer as the data moves to the top Application Layer – a process called decapsulation.

  • Can layers in the OSI model interact out of sequence?

    No, each layer only communicates with the layers directly above and below it. This structure ensures data is processed systematically and flows efficiently from the source to the destination.

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What is IIoT (Industrial Internet of Things)?

IIoT connects industrial devices for smart decision-making using real-time data. Learn how it works and how it's transforming industrial processes and networks.

Neos Networks | 11 October 2024
Examples of Industrial Internet of Things (IIoT) applications

What is the Industrial Internet of Things (IIoT)?

The Industrial Internet of Things (IIoT), also known as the industrial internet, refers to using interconnected smart sensors and other devices to collect and share data to enhance industrial processes. By connecting devices that process data in real time, IIoT can improve operational efficiency, productivity and safety.

IIoT is increasingly used in sectors like manufacturing, energy management, logistics and transport. For example, IIoT-enabled sensors and devices on production lines can help ensure quality control, optimise energy usage and enable predictive maintenance – spotting issues before equipment fails.

Together with emerging technologies like AI, big data analytics and robotics, the Internet of Things is one of the main drivers of the Fourth Industrial Revolution.

IoT vs IIoT: what’s the difference?

The Internet of Things (IoT) is a general term that refers to connecting devices to the internet to remotely control them, from smart home gadgets to city infrastructure. Consumer IoT applications, like smart TVs, smart thermostats and wearable fitness trackers, focus on convenience and enhancing user experience.

A subset of IoT, Industrial IoT (IIoT) refers to connecting devices in large-scale industrial environments like factories and warehouses. Since IIoT failures can lead to costly downtime or safety hazards, IIoT focuses on ensuring high reliability and low latency for precise real-time control.

IoT vs. IIoT

Examples of industrial IoT applications (smart healthcare, farming, delivery vehicle, energy management, connected train and factory robot) compared with consumer IoT devices (smart light bulb, speaker, thermometer, TV, watch and phone).

 

How does the Industrial Internet of Things work?

IIoT works by connecting machines, sensors and other devices to the internet to collect, monitor and analyse data in real time. Here’s how it works in more detail.

IIoT-enabled devices

Sensors or other devices built into industrial machinery collect data such as temperature, pressure, speed and vibration. For example, a vibration sensor in an industrial motor may collect data on the level of vibration in the device.

Connectivity

The sensors and devices are connected using wired or wireless network protocols like Wi-Fi, Bluetooth, Ethernet or 5G. They send data to a central server or cloud-based IIoT platform for real-time analysis.

Edge computing

Some data may be aggregated and initially processed locally using edge networking and edge computing. This reduces latency and bandwidth usage by enabling real-time analysis without sending all the data to the central server or cloud.

Data analytics

Once in the central server or cloud, data is aggregated and analysed using big data analytics, AI or machine learning to identify and act on patterns in the data. For example, certain vibration levels in an industrial motor can be used to predict a breakdown before it occurs.

Insights and automation

The processed data may be visualised in dashboards, allowing operators to monitor critical metrics and take action to optimise processes. Similarly, IIoT systems may directly control machines based on insights from real-time data analysis, optimising efficiency and automating routine tasks.

By harnessing real-time data analysis and automation, IIoT systems can significantly enhance the efficiency, resilience and scalability of industrial processes.

Examples of IIoT applications

From production lines and supply chains to energy management and healthcare, IIoT is used for various applications in a wide range of industries. Here are some common examples.

Smart manufacturing

In smart factories, sensors capture data on inventories, production line performance and the condition of equipment. By analysing this data, IIoT platforms can improve efficiency, reduce costs and enable predictive maintenance.

Supply chain logistics

In warehouses, IIoT devices like RFID tags and GPS trackers are used to track and optimise the movement of goods. For example, Amazon uses IIoT-enabled robots, AI and machine learning to streamline operations in its fulfilment centres.

Energy management

In distributed energy systems, IIoT-enabled smart meters and other devices enable real-time monitoring of energy usage and remote control of energy assets. For example, IIoT is a vital component of smart grids as the UK transitions to net zero.

Intelligent healthcare

In hospitals and patients’ homes, smart medical sensors allow doctors to monitor changes in a patient’s health in real time. By enabling round-the-clock monitoring, IIoT-enabled remote patient monitoring can improve health outcomes and patient engagement.

Smart agriculture

Farmers use IIoT technology for precision farming. For example, IIoT-enabled devices can be used to remotely control operations, like monitoring soil and crop conditions, tracking livestock, and optimising water, energy and fertiliser usage.

Benefits of IIoT for businesses

As IIoT enables real-time monitoring, insights and automation, it offers several advantages for businesses, especially in manufacturing and logistics. Here are some key benefits:

  • Enhanced efficiency: Intelligent monitoring and automation can help to optimise workflows and enhance productivity.
  • Predictive maintenance: Real-time analytics allow you to predict equipment failures, reducing unscheduled downtime.
  • Reduced costs: Optimised workflows and automation lead to lower operational costs and energy consumption.
  • Improved safety: Sensors can monitor potentially dangerous equipment 24/7, while remote automation can minimise worker interventions in hazardous environments.

Overall, the actionable data, flexibility and scalability of IIoT-enabled systems can help you better adapt workflows and production processes to ever-changing markets.

Challenges of deploying IIoT devices

While IIoT systems offer several advantages, implementing them poses several challenges.

The first is data security and privacy. The more IIoT devices you connect, the greater the risk of cyberattack. You need to manage the vast amounts of data generated and ensure your devices are protected against online threats.

Another challenge is the upfront cost. Investing in IIoT devices, software and infrastructure can be costly, although the return on investment may be good in the long term.

Third, integrating IIoT systems to work seamlessly with existing infrastructure can be complex, especially as devices from different vendors may not be interoperable. As the technology is new and evolving, finding staff with the required IIoT and cyber security skills can be difficult.

Finally, scalability can be an issue as you grow your business. You need to manage increasing amounts of data and connected devices while maintaining performance and reliability.

The future of IIoT

Looking ahead, the number of IoT devices worldwide is expected to roughly double by 2030, reaching around 40 billion. For Industrial IoT devices, that means a CAGR of around 14%, its market volume rising to about $455 billion by 2029.

As IIoT takes off, here are six emerging trends to look out for:

  1. 5G and Wi-Fi 6: The rollout of 5G (with 6G to follow) and Wi-Fi 6 will drive IIoT growth, as they provide high-speed, low latency connectivity for mobile devices, essential for real-time data processing.
  2. Moving to the edge: As more IIoT-enabled devices come on stream, computer processing and storage will increasingly shift to edge networks.
  3. AI and ML: Rapidly evolving AI and machine learning will enable more sophisticated automation and analytics for IIoT platforms.
  4. IIoT standardisation: To solve the interoperability challenge, unified standards and protocols for IIoT will likely emerge.
  5. IIoT security: As IIoT devices proliferate, expect to see more sophisticated security for IIoT deployments, such as AI-powered threat analysis.
  6. Green IIoT: The pressing need for sustainability is likely to drive the development of IIoT solutions to reduce energy usage and waste.

IIoT connectivity

No matter how IIoT evolves, one thing is certain: it will need more high capacity, low latency connectivity in the future. At Neos Networks, we provide high capacity connectivity for businesses with over 90 data centres and 600 points of presence across our UK-wide network.

If you’re looking to connect IIoT applications or need low latency connectivity for business-critical networks, join us. We’ll be happy to make connectivity work for you.

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What is edge networking?

Edge networking brings data processing closer to where data is generated – a growing trend driven by data-hungry emerging technologies.

Neos Networks | 26 September 2024
Edge networking

What is edge networking?

Edge networking is a cloud-based networking architecture that locates computing resources and data storage close to where they’re needed – near end-user devices at the ‘edge’ of a network. This differs from traditional cloud computing, where data is processed in centralised data centres.

In edge networks, devices such as sensors, routers, and IoT devices handle a significant amount of data processing locally. This helps to reduce latency and bandwidth usage, enabling real-time data processing for applications like AI, IoT (Internet of Things) and 5G.

For example, in 5G networks, edge networking enables ultra-low latency, high speed communications, essential for applications like autonomous vehicles, real-time gaming and augmented reality (AR).

How does edge networking work?

Edge networking works by processing and storing data at or close to the devices that generate the data.

For example, autonomous vehicles like self-driving cars generate vast amounts of data from sensors, cameras and other devices. Instead of transmitting it to a distant cloud server, data is processed in or near the vehicle in real time, enabling split-second decisions about steering, braking, speed and navigation.

Autonomous vehicle edge network

Autonomous vehicle edge network showing how cars connect to edge networking infrastructure.

 

From cameras in self-driving cars to sensors in smart factories or your mobile phone, edge networks rely on edge devices to compute data at the edge.

What are edge devices?

An edge device is a device at the edge of a network that connects to another network. Put simply, it’s a bridge between two networks.

In addition, edge devices may filter, aggregate and process data without transmitting it to central cloud servers. Here are some common edge devices and the role they play.

Common edge devices

Device Function
Edge routers Manage and direct network traffic, allowing different edge devices to communicate. By prioritising data in real time, they can decide which data needs to be forwarded to the cloud, optimising bandwidth usage.
Edge gateways Connect IoT devices to the cloud. By aggregating and analysing data from multiple devices, they can ‘make decisions’ autonomously without relying on cloud servers.
Edge servers Process data close to the data source. They may be standalone or integrated into other edge devices, like routers, gateways or IoT sensors.
IoT sensors Collect and process real-time data about physical conditions, allowing devices to respond remotely. For example, sensors measuring temperature, humidity, or air quality in industrial or agricultural settings can trigger actions like adjusting heating or water levels.
Smart cameras Record and process video on the spot. Using AI, smart security cameras can analyse footage locally and trigger an alarm if they detect suspicious activity.
Industrial controllers Collect and analyse production line data in real time. This allows them to optimise efficiency and reduce downtime.
Mobile devices Collect and process user data autonomously. With increasingly large storage, memory and processing power, smartphones, tablets and laptops now support AI and AR/VR.

 

Edge networking benefits

Edge networks offer several key benefits, especially for applications where fast, local data processing is critical. Here are some of the main advantages:

  • Reduced latency: By reducing the amount of data sent to central cloud servers, edge networking can significantly reduce latency and boost network response times.
  • Optimised bandwidth: With less data sent to the cloud, edge networks generally use less bandwidth, reducing costs and improving overall efficiency.
  • Real-time insights: As edge devices process data locally in real time, they enable time-critical applications like autonomous vehicles, smart manufacturing and health care monitoring.
  • Enhanced data security: With local data processing, less sensitive data is sent over the internet, reducing the risk of interception. However, decentralised edge devices with limited security resources provide more entry points for hackers, so they must be adequately secured against attack.

As data consumption explodes, the fast processing, low latency and increased efficiency of edge networks make them ideal for various applications.

Edge networking use cases

Edge networks increasingly play a critical role in data-intensive emerging technologies. Here are some common uses.

AI and machine learning

Industrial IoT

In Industrial Internet of Things (IIoT) applications, edge networking enables multiple devices to make decisions on the spot. For example, in smart cities, cameras and sensors control street lighting, operate traffic lights and monitor pollution levels.

AI and machine learning

5G networks

Telecom providers use edge networking in 5G mobile networks. By processing data at the edge, 5G networks deliver the high-speed data transfer essential for emerging mobile tech like self-driving cars and AR headsets.

AI and machine learning

Autonomous vehicles

Equipped with cameras, radar, and laser-based sensors (LiDAR) , self-driving cars rely on edge networks. By processing driving data in or near the vehicle, they can constantly observe the road and surroundings, making split-second decisions to manage the car.

AI and machine learning

AR and VR

Augmented reality (AR) and virtual reality (VR) rely on ultra low latency to deliver real-time experiences without delay. Managing data on the edge in end-user devices allows AR/VR applications to create a realistic, immersive experience.

AI and machine learning

Healthcare

In healthcare facilities, medical devices process data on the premises to enable real-time patient monitoring and fast diagnosis. Remotely, wearable devices analyse data to detect unusual patterns in a patient’s vital signs and alert healthcare providers.

AI and machine learning

Energy management

In the UK’s emerging smart grid, energy network operators use edge networking to monitor and control energy sources. By controlling local distributed energy sources in real time, the smart grid can balance supply and demand dynamically.

AI and machine learning

Content delivery networks

Edge networks are critical for content delivery networks (CDN), which store data locally to speed up delivery to end users. For example, a streaming service may cache video near end users to minimise buffering and enhance customer experience.

AI and machine learning

Security and remote monitoring

Edge networking enables security cameras and other local sensors to provide real-time monitoring. By analysing video footage and sensor data at the edge rather than sending it to centralised servers, they can send alerts instantly.

The challenges of edge networking

Despite the many advantages of edge networks, deploying and maintaining them can be challenging. Here are some key issues to consider.

Network complexity

Since edge networks often comprise numerous fixed or mobile edge devices with different standards, protocols or software, deploying and managing them can be complex. In addition, current automation tools for remotely orchestrating, troubleshooting and maintaining equipment may not work in new edge deployments.

Network reliability

Edge networks may be deployed in areas with poor connectivity. Maintaining reliable ultra low latency connections between central servers and the edge can be difficult, especially with mobile devices.

Data management

Edge devices generate a massive volume of data, so deciding what to process locally and what to send to the cloud is critical. As edge devices typically have limited processing and storage capacity, businesses often abandon valuable data because they lack the resources to process it.

Scalability challenges

Some edge networks are simple to scale up. Instead of upgrading costly central servers, you can simply add or upgrade edge devices. However, edge device capacity is limited, and many current purpose-built edge deployments can’t always adapt to meet evolving business needs.

Security and privacy

As mentioned above, edge deployments can enhance data security by reducing the amount of sensitive data sent over the internet to central servers. However, numerous multiple edge devices increase the ‘attack surface’ for hackers and must be secured with robust security policies and user access controls.

To sum up, edge networks are complex to design and implement. In the future, deployments should become simpler as unified edge platforms and open standards emerge.

The future of edge networking

As the demand for real-time data processing grows, edge networking is set to become a core component of our digital lives. Here are six emerging trends shaping its future.

1. IoT, 5G and 6G

With the rollout of 5G (and 6G on the horizon), the number of IoT devices worldwide is set to double by 2030, reaching around 40 billion. Edge networking will be vital to manage the vast amounts of data generated. Meanwhile, the global edge data centre market is expected to grow at a CAGR of almost 15%, rising to $33.9bn by 2030.

2. Security and privacy

More advanced security measures, like zero-trust architectures, will be developed to ensure data security and privacy in edge devices. Zero-trust security means that no device on the network is trusted by default and requires continuous authentication to gain access.

3. AI and ML

As artificial intelligence and machine learning develop, edge devices will be able to perform increasingly complex analyses in real time. For example, edge networks can enable federated learning (FL), where ML models are trained locally on edge devices, keeping data private from central cloud servers.

4. Edge standardisation

A critical question that needs resolving is common standards for edge networking. The continued evolution and adoption of open standards, such as ETSI Multi-access Edge Computing, KubeEdge, and EdgeX Foundry, will be vital to ensure interoperability between vendors. Similarly, we can expect unified edge platforms to emerge with common frameworks for deploying and maintaining edge networks.

5. Hybrid architectures

As edge networks evolve, they will increasingly integrate with cloud infrastructure. As Neos Networks CTOO Matt Rees observes, “A hybrid approach of strategically placed data centres at the edge of the network, in combination with central data centres, will be essential to manage the rapid information flow cost-effectively and sustainably.” At the same time, more cloud providers will offer edge networking as a service (Edge-as-a-Service or EaaS).

6. Sustainability

Cloud computing is highly power-hungry, as shown by Google’s massive 48% jump in greenhouse gas emissions in recent years. In the UK, data centre power consumption is forecast to rise six-fold over the next ten years. Optimising smaller, more efficient edge data centres that use green energy and cooling solutions will be vital for a more sustainable future.

In short, edge networking is set to play a central role in our digital future, touching all aspects of our lives. Get ready to move to the edge.

At Neos Networks, we provide high capacity connectivity for businesses with over 90 data centres and 600 across our UK-wide network. If you’re looking to connect to the edge or just need high capacity connectivity for mission-critical networks, get in touch. We’ll be happy to make connectivity work for you.

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Edge networking FAQs

  • Is edge networking the same as edge computing?
    Edge networking and edge computing are interrelated but distinct concepts. While edge computing refers to the general practice of processing data near where it’s generated at the ‘edge’ of a network, edge networking refers to the connectivity infrastructure that enables it. In other words, edge computing is the overall process; edge networking is the path.

  • How does edge networking differ from cloud computing?
    Edge networks complement cloud computing. Cloud computing processes and stores data in centralised data centres – in the ‘cloud’. Edge networks allow data to be processed in real time near where it’s generated – at the ‘edge’. By enabling tasks to be performed on the spot, edge networks reduce the amount of data sent to the cloud, reducing latency and bandwidth usage.

  • What’s the difference between edge networks and core networks?
    Edge networks are decentralised networks located close to end users providing local data processing. By contrast, core or backbone networks are centralised high capacity networks for long-distance data transmission. They connect data centres and other edge networks, forming the backbone of global network infrastructure.

  • How secure is edge networking?
    Edge networks can enhance security by processing data locally, minimising data transmission across the internet and reducing the risk of attack. However, numerous edge devices can increase the risk of data breaches. They must be secured with strong encryption, device authentication and robust network security policies.

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What is data centre interconnect (DCI)?

Data centre interconnect is a high capacity connection between two or more data centres – a vital link in network infrastructure to meet the growing demand for data.

Data centre interconnect

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What is data centre interconnect?

Data centre interconnect (DCI) is the technology used to connect two or more data centres to share data and resources. It not only delivers high-speed data transfer but also performs technical functions like data replication, load balancing and traffic management to optimise the network.

DCI may be over a short distance, across a campus or town, or longer range, crossing regions, countries or continents. Whether local or long distance, DCI allows multiple data centres to operate as a unified whole, simplifying network management and enhancing efficiency.

With the rise of cloud services, AI and edge computing, data is exploding. DCI enables businesses to scale up their network quickly to meet this demand and bring data storage closer to data sources.

Data centre interconnect (DCI)

Data centre internconnect (DCI) diagram showing DCIs between data centres connecting end users to the internet and cloud services

 

How does DCI work?

Data centre interconnect works by transmitting data between data centres via high capacity, low latency fibre optic connections:

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To direct data traffic, DCIs typically use Multiprotocol Label Switching (MPLS). MPLS routes data between network nodes using short paths instead of long network addresses, speeding up traffic.

For example, Virtual Private LAN Service (VPLS) uses MPLS to provide seamless data transfer between data centres in a single Ethernet network. VPLS operates at layer 2 of the OSI model.

The seven layers of the OSI Model

# Layer Function
7 Application Layer Enables humans or software to interact with the network through applications like file sharing, email clients and databases
6 Presentation Layer Formats, encrypts and decrypts data for the application layer
5 Session Layer Starts, maintains and ends connections between applications
4 Transport Layer Uses various transport protocols to transfer data across the network
3 Network Layer Enables communication between multiple networks and determines the data’s path, for example, applying IP addresses
2 Data link Layer Manages connections between physically connected nodes on a network
1 Physical Layer Transmits raw data bits over physical media like cables or wireless connections

 

At the network layer (layer 3), IP VPNs can connect data centres over IP-based networks, enabling secure interconnections over longer distances. Similarly, DCI may use software-defined wide area networking (SD-WAN) to provide flexible, efficient connectivity and optimise traffic flows.

To ensure data consistency and availability, DCI replicates and synchronises data in near real time. If a data centre fails, the connection automatically switches to a backup, minimising downtime and data loss.

What are the benefits of DCI?

DCI can help businesses expand their networks quickly and efficiently to meet today’s exploding demand for data. Here are some key advantages of DCI.

Enhanced performance

DCI provides high capacity, low latency data transfer between data centres, balancing the workload between data centres to optimise network efficiency. You can also apply Quality of Service to prioritise network traffic and ensure critical applications have the necessary bandwidth.

Easy scalability

DCI enables you to quickly scale up your network by adding new data centres or expanding existing ones without significant capital investment. You can bring data storage closer to your end users for optimum customer experience.

Cost efficiency

DCI enhances operational efficiency by facilitating data sharing and optimising resources across multiple locations. This reduces the need for redundant infrastructure, lowering overall maintenance and operational costs.

Strong security

DCI solutions typically use secure, dedicated fibre optic connections. Advanced encryption, firewalls and access controls ensure data is protected in transit and at rest.

Improved compliance

DCI facilitates data replication across multiple data centres for disaster recovery, reducing the risk of data loss. This can help protect sensitive data and ensure compliance with data protection laws.

To sum up, DCI provides high capacity data centre connectivity to support growth, enhance performance and ensure business continuity while offering cost and operational efficiencies.

Data centre interconnect use cases

DCI is suitable for various applications that depend on high capacity, low latency data exchange. Here are some common uses of DCI technology.

Data centre interconnect – typical applications

Industry/application Example use cases
Telecoms providers Connects data centres managing voice, data and video traffic in backbone and backhaul networks
AI and machine learning Enables use of distributed computing power to train AI and ML models and serve end users
Internet of Things (IoT) Integrates data from IoT devices into central data centres for real-time processing
Big Data analytics Enables large datasets from multiple sources to be aggregated for analysis
Content delivery networks Helps distribute high-volume content like videos and images across multiple data centres to improve load times
Financial services Delivers ultra low latency near-real-time data exchange for high-frequency trading
Disaster recovery Replicates data to remote data centres for backup and business continuity

 

In short, DCI technology can be used wherever you need seamless, high-speed data transfer between dispersed locations.

DCI solutions for your business

Since DCI involves various technologies at different network layers, choosing the right solution for your business can be challenging.

At Neos Networks, we specialise in bespoke data centre interconnects for businesses across the UK. Get resilient, scalable DCI solutions with Ethernet and Optical Wavelengths up to 400Gbps in over 90 data centres across our B2B-only nationwide network.

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If you’d like to discuss your DCI options, get in touch. We’ll be happy to make DCI work for your business.

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What is point-to-point Ethernet?

Point-to-point Ethernet provides a direct, high capacity link between two locations or network devices. Could it work for your business?

Ethernet cable for P2P Ethernet

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What is point-to-point Ethernet?

Point-to-point (P2P) Ethernet is a private, direct connection between two network devices using Ethernet. Unlike traditional Ethernet networks that involve multiple devices connected via a hub or switch, P2P Ethernet directly connects two devices without using intermediary devices.

Typically, businesses use P2P Ethernet to provide secure, high-speed data transfer between offices, data centres or other critical network infrastructure. It’s often used to link sites to local area networks (LAN) or create wide area networks (WAN), including Metro Ethernet networks.

How does point-to-point Ethernet work?

A P2P Ethernet works by directly connecting two network devices, such as computers, servers, switches or storage devices.

Traditionally, the devices were connected with copper Ethernet cables for short-distance connections, such as within buildings or campus environments. Today, fibre optic cables are increasingly used to provide higher bandwidth connections over longer distances.

For example, at Neos Networks we provide Ethernet point-to-point connectivity between two locations via our high capacity fibre network, as shown below.

Point-to-point Ethernet – Neos Networks EPL

Example of an Ethernet point-to-point service, Neos Networks EPL, showing a direct, dedicated Ethernet link between two customer premises via the Neos Networks cloud and third-parth access networks.

 

As there are no other devices on this connection and it doesn’t traverse the public internet, P2P Ethernet is inherently secure. With no other devices competing for bandwidth, it’s also a highly reliable, low latency connection.

In addition, P2P Ethernet supports a range of bandwidths, from Fast Ethernet (100 Mbps) to 10 Gigabit Ethernet. That’s why it’s often deployed to connect critical network infrastructure where resilience, high capacity and low latency are crucial.

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What are the advantages of point-to-point Ethernet?

P2P Ethernet offers several advantages over other types of connection for certain applications. Here are the main benefits.

High bandwidth

As P2P Ethernet is a dedicated line, it typically offers higher bandwidth than shared Ethernet connections. The whole bandwidth is available for data transfer between the network’s two endpoints.

Low latency

As mentioned above, a direct P2P link keeps latency to a minimum. This is crucial for tasks requiring real-time data transmission, like financial trading, video conferencing, cloud applications and emergency service networks.

Simplicity

Managing a dedicated point-to-point network can be simpler than multipoint networks. If a fault occurs, you have fewer devices and routes to troubleshoot.

Enhanced security

Unlike shared Ethernet connections, P2P Ethernet is an exclusive, direct connection that doesn’t cross the internet. No one else has access, so it’s inherently secure.

Reliability and Quality of Service (QoS)

Since P2P Ethernet connections don’t suffer from traffic congestion like shared networks, they’re typically more reliable. In addition, with a dedicated link, businesses can ensure Quality of Service (QoS) more efficiently, prioritising bandwidth for applications without competing with other users.

Cost efficiency

Ethernet point-to-point connections can be good value. For dedicated, high bandwidth connections between two locations, they can be more cost-effective than leased lines, depending on the specific application.

What is point-to-point Ethernet suitable for?

Ethernet point-to-point services are ideal for businesses that need secure, high bandwidth, low latency connectivity for real-time data transfers between two sites.

Typical applications of P2P Ethernet include:

  • Data centre interconnects: Supporting high-speed data transfers and synchronisation between data centres
  • Wide area networks (WANs): Connecting remote sites and regional offices to enterprise WANs
  • Backup and recovery: Providing high capacity connectivity for real-time backups and recovery of data
  • Cloud services: Connecting to cloud service providers for seamless access to cloud-based applications
  • Real-time collaboration: Providing VoIP, video conferencing and other collaboration tools
  • Financial trading: Ensuring ultra low latency connectivity for real-time transactions
  • Manufacturing and IIoT: Supporting real-time data exchange for automated production processes
  • Research and education: Connecting universities and research facilities to support high capacity data exchange

Is P2P Ethernet right for your business?

If you need a secure, high-bandwidth connection between two locations with low latency and high availability, an Ethernet point-to-point link could be ideal.

At Neos Networks, we provide high capacity Business Ethernet services across the UK. Connect your sites with Ethernet Private Line (EPL), a resilient P2P Ethernet service you can scale up to 10Gbps.

If you’re looking to connect more than one site to a central office, Ethernet Virtual Private Line (EVPL) point-to-multipoint Ethernet could work for you.

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Or if you need the flexibility of any-to-any connectivity, Virtual Private LAN Service (VPLS) could be ideal. VPLS links multiple sites in a single domain through IP routing or MPLS.

If you’d like to discuss which is better for your business, get in touch. We’ll be happy to make Ethernet work for your digital future.

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What is the Fourth Industrial Revolution (4IR)?

We’re living in a transformative age. Learn about the new technologies driving change, their impacts and challenges, and how to adapt to this new world.

Industries of the Fourth Industrial Revolution

What is the Fourth Industrial Revolution (4IR)?

The Fourth Industrial Revolution, also known as 4IR or Industry 4.0, refers to the rapid technological advancements of this century – emerging technologies like artificial intelligence (AI), robotics, the Internet of Things (IoT) and biotechnology. The current unprecedented speed of breakthroughs, the disruption caused to almost every industry worldwide, and their potential to transform the global economy and society make this a new industrial revolution.

The first industrial revolution was powered by steam and water in the 18th and 19th centuries. Electricity powered the second revolution. Computers and the internet fuelled a third, digital revolution in the last century. Today, the rise of intelligent machines is driving the fourth revolution, transforming how we live, work and play.

Fourth Industrial Revolution timeline

Shows 1st Industrial Revolution (ca. 1760-1840): steam and water power; 2nd Industrial Revolution (ca. 1870-1914) electricity and the assembly line; 3rd Industrial Revolution (ca. 1950-2000) electronics, computers and the internet; 4th Industrial revolution (ca. 2010 and ongoing) AI and cyber-physical systems.

 

As in previous industrial revolutions, 4IR is fuelled by a combination of emerging industries building on each other.

Ten technologies driving 4IR

The Fourth Industrial Revolution is often described as a fusion of technologies that merge the digital, physical and biological worlds.

By embedding sensors and connectivity into objects, including our bodies, we’re finding new ways to communicate with machines and enhance human capabilities. Here are some of the key technologies driving the revolution.

 

AI and machine learning

1. AI and Machine Learning

Artificial intelligence (AI) is a set of technologies that can reason and learn to solve problems or perform tasks that traditionally require human intelligence. It powers innovations like autonomous vehicles, advanced healthcare diagnostics and personalised customer experiences.

Big data and analytics

2. Big Data and analytics

A significant underlying driver of the revolution, Big Data and analytics refers to collecting and analysing vast volumes of data to reveal trends and insights. Big Data is improving operational efficiencies and changing decision-making in business and wider society.

Internet of Things

3. IoT

The Internet of Things (IoT) refers to the network of interconnected devices that exchange data over the internet. A key 4IR technology, IoT enables advances like industrial automation, smart homes and real-time health monitoring.

AI for network scalability

4. Cloud computing

Cloud computing is the on-demand delivery of computing services like apps, storage and networking over the internet. Cloud services allow businesses to rapidly innovate and scale operations without investing in their infrastructure.

Robotics and automation

5. Robotics and automation

Advanced robotics enables sophisticated robots, including humanoid assistants, to perform complex high-precision tasks independently with high precision. These robots can play vital roles in manufacturing, healthcare and customer service, often enhancing productivity and safety.

AR and VR

6. AR and VR

Augmented reality (AR) overlays digital images on the world around you. In contrast, virtual reality (VR) creates an alternative, computer-generated environment that you interact with. These technologies are set to provide immersive experiences for education, remote collaboration and customer service.

Biotech and nanotech

7. Biotech and nanotech

Biotechnology uses living organisms, or their derivatives, to develop products or technologies. Today, rapid advances in fields such as genetic engineering, biopharmaceuticals and agricultural biotech are leading to breakthroughs in medicine and food production. And nanotechnology, manipulating materials at a molecular level, creates new materials for medicine and engineering.

Quantum computing

8. Quantum computing

Using the principles of quantum mechanics, quantum computers can operate at exponentially faster speeds than traditional computers. This enables us to solve complex problems in fields like material science and cryptography.

Blockchain

9. Blockchain

Blockchain is a decentralised ledger technology that ensures transactions aren’t tampered with. Underpinning cryptocurrencies like Bitcoin, blockchain is also used for digital ID verification, smart contracts and supply chain management.

3D printing

10. 3D printing

3D printing uses computer-aided design to create three-dimensional objects by layering materials like plastics, composites or biomaterials. Also known as additive manufacturing, 3D printing revolutionises production by enabling rapid prototyping and customised manufacturing, reducing waste and costs.

Overall, these technologies represent a revolution due to their exponential growth and potentially profound impact on our lives.

Impacts of the Fourth Industrial Revolution

As 4IR technologies advance, they’re expected to transform the economy, society, government and environment of countries worldwide.

Economy

First, integrating tech like AI, robotics and automation enables businesses to boost productivity and efficiency. This can lead to higher production, faster product innovation, enhanced customer service and reduced costs.

Second, 4IR is set to drive innovation in products and services, transforming existing industries or creating new business models. Advanced manufacturing techniques will allow greater personalisation of products and services.

Third, these technologies are set to displace some traditional manufacturing and routine white-collar jobs. However, they’ll also create new jobs in high-tech industries, data analysis and cybersecurity.

Society

To meet the demands of this new economy, education will have to adapt. Schools and higher education must focus on STEM education and lifelong learning to enable individuals for future jobs.

All the more so because we’ll live longer. Advances in health care, personalised medicine and smart infrastructure will likely improve older people's life expectancy and quality of life.

In addition, the proliferation of internet-connected mobile devices and the rise of IoT gives us unprecedented connectivity. This enables near real-time data exchange globally, fostering collaboration and competition.

However, access to advanced technologies varies across communities and countries. Owners and investors in new technologies are poised to gain significant wealth. As a result, the rapid pace of technological change could exacerbate existing wealth and digital divides.

Government

Governments will have new ways of interacting with citizens to address these challenges. For example, e-government services and smart cities are already used in the UK to enhance public services.

On the other hand, emerging technologies can threaten fundamental freedoms. Across the globe, dictators find new ways to monitor and control their populations. And rapidly evolving technological innovation increases the risk of war and the means to wage it.

Environment

On the positive side, renewable energy, smart manufacturing and new sustainable practices can mitigate environmental impacts. Together with new technologies like carbon emissions management, they can help us tackle climate change.

Yet the increase in energy consumption from AI and cloud computing, electronic waste and the depletion of resources could degrade the environment if not managed properly – one of several challenges the revolution poses.

Challenges of the Fourth Industrial Revolution

While 4IR is set to bring enormous benefits, its blurring of the digital, physical and biological spheres entails several risks. Here are some key challenges.

First, the data explosion fuelled by industries like cloud computing, AI, and IoT raises data privacy and security concerns. In a hyperconnected world, how can we protect user privacy? How can we defend complex, interconnected systems against cyberattacks?

Second, the rapid rise of AI, genetic engineering, biotech, autonomous vehicles and robots pose thorny ethical questions. For example, how can we remove bias from AI decision-making? How can we control biohacking and prevent designer babies? How can we stop autonomous robots from getting out of control?

Third, the socioeconomic impacts above could lead to income inequalities, business bankruptcies, unemployment and even social unrest. How can governments and individuals adapt?

Overall, how can we effectively regulate 4IR technologies? The regulation of new technology often fails to keep up with the pace of innovation, and rules and enforcement differ around the world.

Adapting to the Fourth Industrial Revolution

Meeting the challenges of 4IR will require collective, global efforts across various industries.

First, governments should work with businesses, academia and wider society to regulate new fields like AI and biotechnology. We need timely international regulation of 4IR technologies to promote their benefits while mitigating risks.

As individuals, we need to get used to flexible careers and continuous learning. With the rapid pace of change, education will likely become a lifelong process as we adapt to evolving tech.

For businesses, new technologies mean new opportunities and new threats. To meet these challenges, companies will need to:

  • Prioritise digital transformation: Invest in digital infrastructure and technologies like AI and IoT to enhance products, operational efficiency and customer service.
  • Train employees: Provide continuous learning for staff to work with evolving technologies.
  • Adopt Agile working: Introduce methodologies to enhance flexibility and foster a culture of innovation.
  • Improve data management: Collect and analyse data to improve business insights and decision-making.
  • Bolster cybersecurity: Protect sensitive data from increasing cyber threats.

We can’t predict the future, but one thing seems certain: connectivity will be crucial to compete in this new world.

At Neos Networks, we deliver scalable, high capacity connectivity for UK businesses nationwide. If you’re looking to connect your business for the future, contact us. We’ll be happy to design a network for your business, however the revolution unfolds.

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Why NPS scores matter in the telecoms industry

Net Promoter Scores (NPS) measure customer satisfaction with a product or company – a crucial metric that helps you choose the best service and shows providers what to improve

Emojis for NPS categories: detractor, passive and promoter

What is a Net Promoter Score (NPS)?

A Net Protomer Score (NPS) is a metric used to measure customer satisfaction with a company, product or service. It’s calculated using a standard method, so it’s a great way to compare customer views of different companies or products across an industry.

How NPS scores work

NPS scores work by asking a single question to measure customer satisfaction and calculating a figure based on how customers respond. Here’s how it works in detail.

NPS question

The customers surveyed are asked this question: ‘On a scale of 0 to 10, how likely are you to recommend our company/product/service to a friend or colleague?’. Zero is ‘not at all likely’, and ten is ‘extremely likely’.

NPS categories

Customers are placed in one of three categories based on how they answer the question above:

  • Detractors (scoring 0-6): dissatisfied customers who may discourage others from using the company, product or service
  • Passives (scoring 7-8): customers that are satisfied but not keen enough to actively promote the company
  • Promoters (scoring 9-10): very satisfied and loyal customers who are likely to promote the company

NPS calculation

To calculate the NPS, you subtract the percentage of detractors from the percentage of promoters.

How to calculate an NPS

Graphic showing how the Net Promoter Score is calculated: by subtracting the percentage of Detractors (scoring 0-6 - coloured red) from the percentage of Promoters (scoring 9-10 - coloured green)

 

For example, imagine 50 customers have responded to your company’s survey with the following results: 36 are promoters, 11 are passives and 3 are detractors:

  • Percentage of Promoters: 36/50 x 100 = 72%
  • Percentage of Detractors: 3/50 x 100 = 6%
  • Your NPS score is 72 – 6 = +66

Scores can vary from –100 to +100, so how do you know what’s a good score?

NPS interpretation

If every customer who responds is a detractor, the score will be –100. Conversely, if every respondent is a promoter, it will be +100.

So any positive score (greater than zero) indicates generally favourable customer sentiment. A score of +40 or more is usually considered very good or excellent, depending on the industry.

Types of NPS

There are various types of Net Promoter Scores covering a range of customer sentiment, from feelings about a particular product or brand to satisfaction with service delivery over time.

In the telecoms sector, two NPS are crucial:

  • Transactional NPS show customer satisfaction after a specific interaction with a company, such as a customer service call, purchase or product delivery.
  • Relationship NPS measure the overall relationship with customers and their loyalty over a longer period.

Together, these two scores give you a complete picture of customers’ experience, from purchase and delivery to ongoing maintenance and customer support.

Why NPS are important in the telecoms sector

When it comes to measuring customer satisfaction, telecoms providers often attract low approval ratings. Service delivery is notoriously challenging, with some of the largest companies often earning surprisingly low scores.

That’s why NPS are such a vital indicator in telecoms – a customer satisfaction metric that’s recognised and trusted worldwide.

First, when selecting a provider or connectivity partner, they allow you to look beyond the marketing and identify companies that truly deliver on their promises.

Second, they’re a great way for providers to gather customer feedback. By regularly monitoring our scores, we can see how new changes, products or services directly influence customer satisfaction.

What NPS mean for Neos Networks

At Neos Networks, customer service is our priority. We believe happy customers are loyal customers, and gathering your feedback is vital to understand whether you’re happy with our services.

We ask our customers to rate their experience with us regularly, covering areas like account management, service support and delivery (relationship NPS). We also survey them on the purchase and rollout of a product or service upon delivery (transactional NPS).

By tracking these two scores, we can monitor our performance with our customers and against our competition.

In addition to NPS, customers can respond to a qualitative question, which gives us valuable extra details. In a world where data demands are evolving fast, this helps us evaluate your business’s changing requirements.

Industry-leading NPS

As you can see from our scores, we’re making connectivity work for our customers:

  • Our relationship NPS in 2023-24 was +42, far exceeding the benchmark of around +30 for a B2B telecoms company (as recorded by CustomerGauge).
  • Our transactional NPS averages around +68, again way above the industry standard.

While market-leading scores mean an excellent reputation, what sets us apart from other providers is how we use your feedback.

For long-term customer satisfaction

At Neos, we take our NPS tracking very seriously and do all we can to translate your feedback into action. Our aim is to always deliver the best possible services and customer experience.

For example, one important early learning for us was that our customers would like more regular updates on orders in progress. Now, our provisioning team provides more information at various touchpoints during every order.

Above all, we pride ourselves on commitment-based management. In other words, we do what we say we’re going to do when we say we’re going to do it.

That’s how we’re making connectivity work for businesses and organisations across the UK. If you want to discuss high capacity connectivity for your business or give feedback on our products or services, contact us.

For us, NPS is more than just a score. The feedback you provide shapes the way we work.

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What is Critical National Infrastructure (CNI)?

Learn which sectors are considered vital for the UK, the threats they face, and how we help to connect them

Dam in Scotland - part of the UK's Critical National Infrastructure

 

What is Critical National Infrastructure?

Critical National Infrastructure (CNI) refers to the systems, facilities and networks that are vital for the functioning of a country and its economy.

For example, the water supply provides the water we need to live, the energy sector powers our homes and industry, and telecom networks enable us to communicate – connecting our homes, businesses and public services, including emergency services.

CNI also includes some assets that may not be essential to daily life but need protection because they’re potentially dangerous. For instance, nuclear power stations or chemical plants can pose a severe public health threat if attacked or otherwise damaged.

CNI definition

In the UK, the government defines Critical National Infrastructure as:

“Those critical elements of Infrastructure (facilities, systems, sites, property, information, people, networks and processes), the loss or compromise of which would result in major detrimental impact on the availability, delivery or integrity of essential services, leading to severe economic or social consequences or to loss of life.”

In short, CNI is the assets upon which the country depends to function and keep its citizens safe.

CNI sectors in the UK

The UK government designates 13 sectors as Critical National Infrastructure – facilities that are necessary to run the country or potentially dangerous to the public. Some sectors are divided into ‘sub-sectors’. For example, emergency services can be divided into police, ambulance, fire and rescue services and HM Coastguard.

Each sector has at least one government agency, or Lead Government Department, responsible for it.

UK Critical National Infrastructure sectors

Table describing the UK's 13 Critical National Infrastructure sectors: Chemicals, Civil Nuclear, Communications, Defence, Emergency Services, Energy, Finance, Food, Government, Health, Space, Transport and Water

 

Why is CNI important?

If Critical National Infrastructure is disrupted, it can significantly impact the UK and its citizens’ daily lives. Here’s why protecting CNI is vital for the UK.

National security

CNI supports the UK’s defence and security operations. If CNI fails, the UK could be vulnerable to attack from hostile actors or nation-states, including cyberattacks.

Public safety

CNI provides vital services such as water, electricity, health care and transport. Any disruption to these could seriously impact the safety and well-being of the population.

Economic stability

In an increasingly connected digital economy, communications and transport networks are vital to business operations, supply chains, and overall economic stability. Interruptions to this CNI can lead to significant financial losses for organisations and the economy as a whole.

Disaster resilience

CNI helps the UK prevent and withstand terrorist attacks, cyberattacks and natural disasters. When they do occur, emergency response services are critical for coordinating recovery.

Sector interdependence

As much of the UK’s critical infrastructure is heavily interdependent, disruption in one sector can seriously affect another. For instance, the failure of essential IT networks could disrupt the control and coordination of energy supplies.

 

Overall, CNI is also significant for the country psychologically. At home, robust and secure national infrastructure maintains public confidence in the government and critical service providers. Abroad, it enhances the UK’s reputation and credibility as a country you can trust and do business with.

In short, CNI is crucial for maintaining the defence, economic security, and overall wellbeing of the UK and its citizens.

Threats to CNI

In an increasingly precarious world, the UK’s Critical National Infrastructure faces various natural or human threats, including:

  • Cyberattacks: CNI systems are frequently subjected to cyber threats, such as malware, ransomware, phishing and DDoS attacks, which can undermine the integrity of critical assets.
  • Sabotage: CNI can be the target of vandalism, terrorism or other acts of sabotage by internal staff or external bad actors.
  • Natural disasters: Floods, storms, wildfires or other effects of climate change can affect CNI assets, such as transport, power and water supplies.
  • Geopolitical challenges: Regional conflicts and the shifting global power balance can lead to trade disruptions, sanctions, cyberattacks and other hostile actions by states and non-state actors, directly impacting CNI.
  • Supply chain risks: Some CNI assets depend on global supply chains for critical components and materials, so they’re vulnerable to shortages if supply is disrupted.
  • New technology: Artificial intelligence, quantum computing and other emerging technologies may pose new threats to CNI, requiring ongoing research and protective countermeasures.

In addition, the interdependence of many CNI assets poses a threat in itself: disruption in one sector can quickly ripple across to others. That’s why maintaining and defending the UK’s vital assets requires a multi-faceted approach.

Protecting CNI

To protect the UK’s Critical National Infrastructure, specialist agencies work with CNI organisations and businesses, government departments, the wider UK intelligence community, the police and academia to identify and mitigate risks.

Part of the security service MI5, the National Protective Security Authority (NPSA) provides information, personnel and security advice to CNI businesses and organisations. In partnership with the NPSA, the National Cyber Security Centre (NCSC) provides expert guidance, threat intelligence, and incident response support to protect the UK against cyber threats.

As critical infrastructure systems become more interconnected, the risk of cyber-attacks on sensitive networks increases. Therefore, CNI organisations and businesses require exceptionally robust connectivity.

CNI networks

Critical National Infrastructure needs resilient networks that are always on, whatever happens. That requires dedicated, high capacity connectivity with nationwide reach.

For example, as a CNI provider, we offer Dark Fibre, Optical Wavelengths, Dedicated Internet Access (DIA), Ethernet and more across our B2B-only UK-wide network. We’re working with various CNI partners, including:

If you’re part of the nation’s critical infrastructure or just looking for high capacity connectivity for a vital business network, get in touch. We’ll be happy to make connectivity work for your organisation, whatever the future brings.

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What is a network operations centre (NOC)?

A network operations centre is a vital hub that manages a company’s network infrastructure. Learn how it works and why it’s crucial to maintaining the performance and security of large networks

network operations centre (NOC)

What is a network operations centre (NOC)?

A network operations centre, or NOC (pronounced like “knock”), is a central hub where network engineers manage and maintain a company’s network infrastructure. Typically, it’s a secure room with a video wall displaying network maps, critical platform alerts, call statistics and other critical network parameters. Facing the video wall, NOC staff sit at rows of workstations, monitoring the network's operations.

Industries that need reliable, constant connectivity, such as the energy sector, telecommunications, emergency services and financial institutions, use NOCs to maintain their critical networks. However, any organisation with an extensive network may use a NOC, either in-house or run by a third-party network service provider.

For example, at Neos Networks, our NOC monitors our UK-wide high capacity network round the clock, ensuring our customers’ mission-critical networks run smoothly, whatever happens.

Monitoring 24/7 at the Neos Networks NOC

Engineer in front of the video wall in the Neos Networks network operation centre (NOC), part of the team monitoring customer networks 24/7

 

How does a NOC work?

A NOC works like your central nervous system. Just as your brain manages your vital organs to keep you healthy, a NOC monitors critical network elements, customer services and third-party integrators to maintain your network’s health.

Working 24/7, 365 days a year, NOC staff use specialist tools to identify faults, coordinate incident resolution and optimise network efficiency. In addition, a NOC may monitor alerts for unauthorised access and other cyber threats to ensure network security.

NOC functions

A network operations centre performs several vital tasks to maintain a network. The main functions of a typical NOC include:

  • Monitoring: A NOC continuously monitors network alarms and the stability of vital network components such as power, transmission nodes, switches, routers and other managed devices.
  • Optimisation: Analysing network data and performance, NOC engineers take steps to manage capacity and enhance network efficiency to meet changing demands.
  • Troubleshooting: When a fault or outage occurs, NOC staff investigate and, if necessary, coordinate fault resolution with engineers in the field to minimise network downtime.
  • Maintenance: When planned maintenance takes place, the NOC monitors the network for impacts, tracks the progress of the work and ensures any unexpected impacts are resolved.
  • Security: NOC staff track security alerts and take action to prevent unauthorised access, DDoS attacks and other cyber threats.
  • Reporting: A NOC may compile reports on network performance, troubleshooting and network configurations for network management and compliance purposes.

Overall, a NOC is a first line of defence against network disruption and security threats, ensuring that a network remains operational round the clock. By working closely with a company’s help desk or directly with customers, NOC staff respond quickly to customer requests, resolving issues and minimising downtime.

NOC processes

To respond to incidents efficiently, NOCs typically prioritise tasks and organise teams into tiers to tackle them.

For example, at the Neos Networks NOC, we classify events by severity and impact to drive priority: from P1 for the most critical issues down to P4 for low or no impact events. Faults are worked on collaboratively between multiple teams:

  • Tier 1: The triage team receives calls, logs support tickets and classifies incidents, performing initial diagnostics to determine the cause of the fault and the next action.
  • Tier 2: The on-net technical team analyses any tickets escalated from Tier 1, responds to network alarms, resolves issues with network devices and works with customers to rectify faults.
  • Tier 3: Multiple engineering teams build or repair physical infrastructure in the field, configuring services and resolving escalated incidents for customers.

As customer service is our priority at Neos Networks, we use the ‘SANE’ method when updating customers during a fault:

  • S – Situation: Outline the current situation, for example, the circuit ID number, fault type and location affected.
  • A – Action: Set out what we’ve done so far and the current outcome.
  • N – Next Steps: Log what’s happening now and what we’ll do to resolve the issue.
  • E – Expectation: Clearly explain the following steps to customers and make sure we do them within the agreed timeframe.

By staying SANE, we ensure that faults are resolved as soon as possible and that customers are always informed of progress.

Staff in action at the Neos Networks NOC

Staff consulting in the Neo Networks network operations centre (NOC)

 

Benefits of a NOC

A network operations centre offers several advantages for organisations that manage large networks. Among the key benefits are:

  • 24/7/365 monitoring: As a NOC operates round the clock, it can respond to incidents as soon as they occur, regardless of the time of day.
  • Efficient troubleshooting: When a fault or outage occurs, a NOC team follows established procedures to resolve it promptly.
  • Enhanced network performance: By actively monitoring network metrics, NOC analysts can spot bottlenecks and manage capacity to optimise network efficiency.
  • Increased reliability and availability: A NOC can seamlessly deploy alternative routes when an issue occurs to minimise network disruption.
  • Enhanced security: A NOC team monitors network alerts for security breaches or other cyber threats and takes timely action to counter them.
  • Scalability and network management: As a centralised hub, a NOC makes it easy to scale up or down operations as demand changes.

In short, a NOC plays a crucial role in maintaining the performance and security of your IT or network infrastructure. However, your business might not have the expertise or resources to run your own network and NOC.

NOC for critical networks

If you’re looking to boost your business’s network for the future, choosing a network service provider you can trust is essential. As a Critical National Infrastructure provider, we’ve designed our UK-wide network and NOC with resilience to run Britain’s vital networks.

We have two NOCs – one in operation 24/7, 365 days a year and one “dark” NOC in reserve. Our commitment to our customers is clear from the numbers:

  • Around 95% of customers' calls are answered within our target of 20 seconds.
  • Our relationship NPS score measuring customer satisfaction was +42 in 2023-24, well above the industry standard.

Unlike other providers, our Tier 2 on-net technical team often liaise directly with customers to resolve faults. Together with the Tier 3 engineering and field teams, they often go above and beyond, making connectivity work for our customers.

For example, following alarms received at our NOC earlier this year, the Tier 2 team swiftly dispatched field engineers to the remote and windswept Cruachan radio station in Scotland. They expected they would have to simply reboot equipment for the radio link to recover.

Instead, they found the microwave dish had blown off the tower in gale-force winds resulting in a much more complex fix plan. Working around the clock across the weekend, they were able to source a new dish and had it installed and services back up and running in no time.

If you’re looking for high capacity connectivity you can trust for your business or customers, get in touch. We’ll be happy to make connectivity work for you, whatever the future brings.

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