Get Connected with Broadband

Q. Many areas of Pennsylvania do offer broadband but it is a question of affordability. When is a $1000 to $1500 monthly charge (for a T1, for example) an acceptable cost for a business?

It’s all about cost justifi cation. If your business absolutely needs high speed Internet access and a $1500 per month service is all that is available to you then you don’t have much choice. If, on the other hand, you just want to ‘surf the net’ and get an occasional e-mail, then you probably can’t justify the expense. The bottom line is; will the expense (no matter how great or small) result in a positive return on investment?

Q. When does it make sense to purchase a higher speed connection?

When applications warrant more speed. Or when multiple employees will be online simultaneously.

Anytime that a higher speed package is available and you can cost justify it, you should subscribe to the higher end package.

One easy way to cost justify a higher end package is to relate the time savings to your labor rate. For instance, if a higher end plan is $20 more per month, but it could save you several manpower hours due to increased employee productivity, it should be a very easy decision to go with the higher end package. Other cost justifi cations may not be as easy to calculate. For instance, does the higher end package enable you to get more done in a day’s work? If so, will that result in additional sales or better customer service for your customers? Will high speed access allow you to connect to government web sites or enable you to bid on government contracts? If so, what is that worth to your business? If you host your own website or e-mail server or have employees accessing your LAN remotely (see static IP address applications), then you should subscribe to the highest speed service that is available/affordable to you.

Also keep in mind that the higher speed packages may also give you other benefi ts, such as complimentary domain name registration, multiple e-mail addresses, remote dial-up access, additional Internet security packages, etc.

Q. What business applications are broadband dependent? What are the trends that will change basic businesses processes – like supply chain management, procurement and marketing – forcing universal adaptation of high speed broadband connectivity?

• Large file transfers
• e-Mail with large attachments
• Anything that involves accessing, transporting or manipulating video, audio or graphics typically requires high bandwidth
• Video conferencing
• Audio and video streaming
• VoIP (Voice over Internet Protocol)
• Hosting your own website, e-mail server or file server.
• Remote LAN access
• e-Commerce to include website with shopping carts
• Access to a supplier’s ordering system
• Security monitoring (stream video from onsite security cameras)
• Telecommuting
• Distance learning

Q. Do businesses need to be fearful of not incorporating technology into their businesses? Is there a negative impact on failure to change and incorporate technologies that rely on high speed internet connectivity?

Yes and yes. If you want to grow your business, if you want to keep up with your competitors and if you want to be ready for the future, you better have a technology plan. It’s a cliché but; ‘Those that fail to plan, can plan to fail’.

The Pennsylvania eCommerce Association would like to thank
participants and broadband webinar presenters:

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