Page 201 - Optical Switching And Networking Handbook

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186 Chapter 8

Up to now, our discussions have dealt with the technologies, devel-
opment, and competing products designed by the various manufac-
turers. Some limited discussion also has taken us through the steps
of using the fiber and optical networking and switching at the carrier
level. However, little discussion has taken place of the use of fiber

and optical switching systems in the ever-increasing pool of applica-
tions for the end users, carriers, and manufacturers combined.
The time to discuss the application and use of the fiber-based sys-
tems is now. In this chapter, two major concepts must be addressed:
making money and saving money. Making money represents the per-
spective of the manufacturers. They will invest in research and
development efforts to create products and goods that others want.
These manufacturers will concentrate their efforts on the biggest
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return on investment (ROI) that they can possibly achieve. That is a
business statement, not a criticism of the efforts of manufacturers.
Once manufacturers arrive at a product, they will market this prod-
uct for everything they can get from it. At the same time, they will
also look for spin-off applications to create a second wave of products
and applications that will fit the need. This is where the vendors
start. The goal is to offer the product or service that will return prof-
its greater than their expenses, meaning they want to make money.
While manufacturers are making money on their new products,
they will be replacing other (older) technologies and products that
have lived through their life cycle and are returning less on their
investment. Therefore, the new and improved product will create
greater wealth with less cost. In this regard, the providers are saving
money.
Simultaneously, the carriers will look at the new products and ser-
vices offered by the manufacturers with one major goal in mind:
Install this new product and create revenue streams that exceed
their cost. Hence the carriers also want to use these new technolo-
gies to make money.With the implementation of these new products,
some measure of benefit is achievable. This may include
Reducing the numbers of devices

Increasing the number of calls/connections per fiber
Adding new service levels beyond what was available initially

®
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