Consistent, high-speed internet has long been a priority for businesses and, as organisations increasingly rely on cloud services, it’s more crucial now than ever.
Leased lines can help meet this demand by offering dedicated, uncontended connections that improve performance and security. This blog will explore what leased lines are, how they work and whether you need one.
What is a leased line?
A leased line is a dedicated telecommunications circuit that allows users to connect to reliable, high-speed internet. When you purchase a leased line from an internet service provider (ISP), your contract usually guarantees a fixed-bandwidth data connection that exceeds standard broadband’s performance.
Leased lines are often used by businesses with high data needs because they offer exclusive use of bandwidth. Bandwidth is usually shared among active users, which can affect latency and speed during high-activity periods. A dedicated line removes this possibility, ensuring a steady connection and reliable speeds at all times.
The typical features of a leased line include:
- A fixed data connection between two points
- A dedicated bandwidth allowance for your own exclusive use
- Symmetrical upload and download speeds
- Lower latency and higher speeds
- Enhanced security
Leased line Service Level Agreements (SLAs) generally provide a higher level of service than traditional broadband options. It’s not unusual to get access to 24/7 technical support and guaranteed fix times for any issues that may arise.
How do leased lines work?
Leased lines usually run on fibre optic cables. Data travelling at the speed of light is sent through these cables, creating a high-speed connection between two points.
The first point is the ISP’s network, while the second point is usually a business premise (or the desired location of whoever is renting the line). Pulses of light representing binary data are sent from the first point to the second, where they are turned into digital data.
This telecommunications circuit is used only by the customer leasing the line. Data can be transmitted continuously between the two points without interruption from other users. This is different to traditional fibre broadband, where the connection is shared with other users.
To summarise, leased lines work using the following process:
- Data encoding – the sending point converts digital data into binary data using flashes of light
- Transmission – the light travels down fibre optic cables to the receiving end
- Reception – the receiving end detects light pulses and converts this binary data back into digital data
Different types of leased lines
While most leased lines use fibre optic cables, there are other solutions available when fibre cannot be accessed directly. Let’s take a look at the different types of leased lines and how they work.
Full Fibre
Full fibre leased lines, sometimes known as Ethernet Access Direct (EAD), use fibre optic cables end-to-end. This provides fast, reliable and symmetrical internet connectivity with no reliance on copper wires.
Ethernet in the First Mile (EFM)
EFM is a great solution for businesses that do not have a nearby fibre cabinet. Data is sent from the local telephone exchange to the customer’s premises using multiple bonded copper pairs. This provides a reliable connection, but speeds are lower compared to full fibre.
Ethernet over Fibre To The Cabinet (EoFTTC)
EoFTTC is similar to EFM but uses a mix of fibre and copper in the local loop. Data travels from the ISP to the local street cabinet over fibre optic cables. From the cabinet, it is transferred onto copper lines to reach the premises.
Digital Subscriber Line (DSL)
DSL leased lines use existing telephone lines to provide internet connectivity. It’s a good choice for businesses in areas without any fibre infrastructure, but performance is limited due to the lack of fibre cables.
Multiprotocol Label Switching (MPLS)
MPLS leased lines allow different types of network traffic to be prioritised over each other to optimise network management. They can be built on fibre or copper lines and are often used by businesses with multiple sites.
Wireless
Wireless leased lines use alternative solutions like satellite or microwave internet and are a great solution for getting fast internet in rural areas. They can achieve high speeds but are more prone to reliability issues stemming from environmental interference.
What are leased lines used for?
Leased lines are used for a variety of activities that benefit from a fast, dedicated connection. These include:
- Internet access
- Voice over Internet Protocol (VoIP) calls and video conferencing
- High-speed data transfer
- Cloud services
- Connecting multiple locations, including remote access
What are the benefits of leased lines?
Leased lines offer multiple benefits for businesses. The key advantages are:
- Dedicated bandwidth that isn’t shared with other users, providing a more consistent connection
- Higher speeds than traditional broadband
- Identical upload and download speeds – useful for remote access, data backups and sending large files
- Service level agreements with guaranteed performance monitoring and troubleshooting timeframes
- A private connection that enhances security
- Easy scalability
What are the differences between leased lines and broadband?
The main difference between leased lines and broadband is that leased lines are used by a single subscriber or organisation, whereas broadband is shared among multiple users. This means that leased line users benefit from dedicated bandwidth and aren’t affected by slower performance during peak times.
Do I need a leased line?
Leased lines aren’t generally recommended for domestic use, as they’re unlikely to provide enough benefit to justify the increase in spend. As a business owner, however, a leased line could have a significant impact on operations.
Speed and reliability are understandably attractive but not every business needs a leased line. Situations where it may be useful include businesses that require fast and reliable data transfer for their day-to-day operations, have high VoIP usage or rely heavily on cloud-based applications.
So, whether you are planning an event, creating infrastructure for a new construction site, or looking for an emergency wifi solution for your business this should help guide you on some options.
What speeds can I get with a leased line?
The speeds offered by leased lines vary depending on the type of infrastructure used. Full fibre is usually the fastest, offering speeds of around 1Gbps. In comparison, traditional superfast fibre broadband usually offers speeds up to 300Mbps – making leased lines around 3x faster.
