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Article View: comp.dcom.telecom.tech
Article #8

Re: T1 verus PRI pricing

#8
From: Steve Schaefer
Date: Sat, 30 Sep 1995 18:43
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In article <44c307$3hm@shore.shore.net>, David Shull <shullaver@aol.com> says:
>
>I am trying to find estimates of the monthly rental charges for 
>a T1 line from the various RBOCs.  Unfortunately, this 
>information has been relatively hard to find.  If anyone has 
>any information or suggestions about sources, they would be 
>greatly appreciated.
>
>We are comparing T1 prices to PRI prices to determine how great 
>the PRI demand will be as a replacement for T1.  If you compare 
> PRI and BRI pricing, the ratio is still outrageously high in 
>the U.S. (19.3 BRI lines for every PRI line versus 11.1 in 
>Europe).  I am wondering whether T1 lines are also outrageously 
>priced in the U.S.
>
>Thanks for any help.
>
>


Two types of T-1.  The first type is point to point (dedicated).  These
are charged as the two lines from each point to their respective telco
central offices, plus transport charges (if appropriate).  (Competitive
Access Providers who compete with the local telcos typically use the
same price structure even though their networks are built differently.)
Typical rates are $100 to $260 per month for the T-1 to the telco central
office plus a fixed amount for going between central offices, typically
$50 to $90, plus an amount per mile, typically $10 to $16.  So a
dedicated T-1 in your immediate area may cost as little as $200 per
month (cheap line, both locations out of the same telco central office)
or as much as about $650 per month ($260 lines + $60 fixed transport +
5mi*$14/mi).  Of course, you typically pay more for additional mileage.

A long-distance T-1 has three pieces.  The long-distance carriers piece
(on a scale something like $1000 plus $2 per mile---you may pay more or
less), and the connections between the two endpoints and the long-
distance carrier (provided by a local telco), perhaps $400 each.  As a
result, even a short "long-distance" T-1 might typically cost about
$2000, although this depends a lot on the carriers involved.

The second type of T-1 is just a pipe for some other service.  If a
local phone company (RBOC, GTE, etc.) is providing the service, then
the T-1 runs from your facility to their switch or data port.  PRI, for
example is delivered in a T-1.  Your question could be construed to ask
about a comparison between PRI service and some other type of trunked
phone service.  For example, you can get a T-1 with 24 regular switched
phone lines carried in the 24 channels of the T-1.  You can also have
DOD (direct outward dial) T-1 trunks, DID (direct inward dial) trunks.

If we assume that you are talking about replacing dedicated lines, then
PRI is a poor choice in most (if not all) situations where you need the
T-1 point-to-point connection all of the time.  PRI is a good choice in
most of the situations when you need the T-1 point-to-point connection
occasionally.

As other responses have pointed out, where PRI shines is in its ability
to request a variable amount of bandwith to anyone with ISDN.  It is like
the difference between an intercom and a telephone.
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From: schaefer@paclight.com (Steve Schaefer)
Newsgroups: comp.dcom.telecom.tech,comp.dcom.isdn
Subject: Re: T1 verus PRI pricing
Date: 30 Sep 1995 18:43:14 GMT
Organization: Pacific Lightwave
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