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Chapter

6
Telecommunications And Networks

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Learning Objectives 1. Identify several major developments and trends in the industries, technologies and business applications of telecommunications and Internet technologies. 2. Provide examples of the business value of Internet, intranet, and extranet applications.
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Learning Objectives 3. Identify the basic components, functions, and types of telecommunications networks used in business.

4. Explain the functions of major types of telecommunications network hardware, software, media, and services.

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Why Study Networking? When computers are networked, two industries computing and communications converge, and the result is vastly more than the sum of the parts. Suddenly, computing applications become available for business-to-business coordination and commerce, and for small as well as large organizations.
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Telecommunications Definition: The exchange of information in any form (voice, data, text, images, audio, video) over networks

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Trends in Telecommunications

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Open Systems Definition: Information systems that use common standards for hardware, software, applications, and networking

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Connectivity Definition: The ability of networked computers and other devices to easily access and communicate with each other and share information

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Interoperability Definition: The ability of an open system to enable the many different applications of end users to be accomplished using the different varieties of computer systems, software packages, and databases provided by a variety of interconnected networks

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Digital Network Technologies

Definition: Digital transmission technologies that transmit information in the form of discrete pulses Benefits: Higher transmission speeds Movement of larger amounts of information Greater economy Lower error rates

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Business Value of Telecommunications

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Internet Definition: A network made up of millions of smaller private networks each with the ability to operate independent of, or in harmony with, all the other millions of networks connected to the Internet

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Internet

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Internet Applications

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Business Use of the Internet

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Business Value of the Internet

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Intranet Definition: A network inside an organization that uses Internet technologies to provide an Internet-like environment within the enterprise for information sharing, communications, collaboration, and the support of business processes

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Business Value of Intranets

Communications and Collaboration includes email, voicemail, paging, faxes, and groupware Web Publishing easy, attractive and low-cost way of publishing and accessing multimedia business information Business Operations and Management platform for developing and deploying critical business applications to support business operations and managerial decision making across the inter-networked enterprise
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Business Value of Intranets

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Extranet Definition: Network links that use Internet technologies to interconnect the intranet of a business with the intranets of its customers, suppliers, or other business partners

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Business Value of Extranets

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Intranets & Extranets

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Telecommunications Network Components

Terminals any input/output device that uses telecommunications networks to transmit or receive data Telecommunications Processors devices that perform control and support functions

Telecommunications Channels media over which data are transmitted and received
Computers all sizes and types Telecommunications Control Software programs that control telecommunications activities
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Telecommunications Network Components

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Types of Telecommunications Networks

Wide Area Network (WAN) network that covers a large geographic area Local Area Network (LAN) network connecting information processing devices within a limited physical area Virtual Private Network (VPN) secure network that uses the Internet as its main backbone network, but relies on network firewalls, encryption, and other security features of its Internet and intranet connections and those of participating organizations
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LAN & VPN

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Types of Telecommunications Networks

Client/Server PCs and workstations, called clients are interconnected by local area networks and share application processing with network servers Network Computing Thin clients provide a browser-based user interface for processing small application programs

Peer-to-Peer file-sharing software connects each PC to a central server or to another online users PC
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Client/Server

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Client/Server & Network Computing

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Peer-to-Peer

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Peer-to-Peer

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Telecommunications Media Twisted-Pair Wire copper wire twisted into pairs Coaxial Cable sturdy copper or aluminum wire wrapped with spacers to insulate and protect it Fiber Optics one or more hair-thin filaments of glass fiber wrapped in a protective jacket
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Telecommunications Media

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Wireless Technologies Terrestrial Microwave earthbound microwave systems that transmit highspeed radio signals in a line-of-sight path between relay stations spaced approximately 30 miles apart Communications Satellites - high-earth orbit communications satellites placed in stationary geosynchronous orbits
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Wireless Technologies
Cellular and PCS Systems a geographic area divided into cells with one low-power transmitter device per cell used to relay calls from one cell to another

Wireless LANs high- or low-frequency radio technology installed in an office or building Wireless Web wireless, Web-enabled information appliances accessing the Internet, intranets and extranets
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Wireless Application Protocol (WAP)

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Telecommunications Processors Modems convert digital signals from a computer into analog frequencies that can be transmitted over ordinary telephone lines Multiplexers allows a single communications channel to carry simultaneous data transmissions from many terminals
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Modem

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Telecommunications Technologies

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Internetwork Processors
Switch makes connections between telecommunications circuits in a network Router intelligent communications processor that interconnects networks based on different protocols Hub a port switching communications processor Gateway connects networks using different communications architectures
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Communications Processors

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Network Processors

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Network Management Traffic Management manage network resources and traffic to avoid congestion and optimize telecommunications service levels to users Security provide authentication, encryption, firewall, auditing and enforcement

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Network Management Network Monitoring troubleshoot and watch over the network, informing network administrators of potential problems before they occur Capacity Planning survey network resources and traffic patterns and users needs to determine how best to accommodate the needs of the network as it grows and changes
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Network Topologies Star ties end user computers to a central computer Ring ties local computer processors together in a ring on a relatively equal basis

Bus local processors share the same communications channel

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Network Topologies

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Network Topologies

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Network Architectures & Protocols

Protocol standard set of rules and procedures for the control of communications in a network Network Architecture the use of standard protocols, standard communications hardware and software interfaces and the design of a standard multilevel interface between end users and computer systems with the goal of promoting an open, simple, flexible, and efficient telecommunications environment

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OSI & TCP/IP Models Open Systems Interconnection (OSI) model is a seven-layer model that serves as a standard model for network architectures Transmission Control Protocol / Internet Protocol (TCP/IP) is a five layer telecommunications protocol used by the Internet
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OSI & TCP/IP Models

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IP Address

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Bandwidth Definition: Classification of communications speed and capacity of telecommunications networks Transmission Rates: Narrow-band low-speed Broadband high-speed
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Transmission Speeds

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Switching Alternatives Circuit Switching a switch opens a circuit to establish a link between a sender and receiver; it remains open until the communication session is completed Message Switching a message is transmitted a block at a time from one switching device to another

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Switching Alternatives Packet Switching messages are divided into fixed or variable length packets, and packets are sent across networks

Cell Switching breaks voice, video and other data into fixed cells of 53 bytes and routes them to their next destination in the network

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Case #3: Wi-Fi Networks

Benefits: Superfast Lower cost

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Case #3: Wi-Fi Networks

Challenges: Hit-or-miss hotspots Lost productivity due to disruptions Must create billing systems Must establish technical standards Must develop tighter security measures

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Case #3: Wi-Fi Networks

1. What are the business benefits of Wi-Fi networks? 2. What are some of the problems faced by companies who are using Wi-Fi networks? What are some solutions to those problems? 3. What are some other business uses for Wi-Fi networks not mentioned in this case? What are their business benefits and challenges?
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Case #4: Voice Over IP Services: Combine email with voicemail Audio-conferencing Collaboration technologies Video

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Case #4: Voice Over IP Benefits: Install one line to carry voice and data Reduced staff training Improved productivity

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Case #4: Voice Over IP

1. What are the main benefits that can be gained by companies that switch to VoIP systems? 2. What are some of the major cost factors that may limit a positive rate of return from investments in VoIP projects? 3. Should more companies switch to VoIP systems? Visit the websites of Avaya and Cisco Systems to view their VoIP news, products, and services to help you answer.
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Summary
Organizations are becoming networked enterprises that use the Internet, intranets, and other telecommunications networks to support business operations and collaboration within the enterprise, and with their customers, suppliers, and other business partners. Telecommunications technology is moving toward open, inter-networked digital networks for voice, data, video and multimedia.

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Summary
Open systems with unrestricted connectivity using Internet technologies are the primary telecommunications technology drivers in ebusiness systems. Companies are deriving strategic business value from the Internet, which enables them to disseminate information globally, communicate and trade interactively with customized information and services for individual customers, and foster collaboration of people and integration of business processes within the enterprise and with business partners.
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Summary Businesses are installing and extending intranets throughout their organizations to:
Improve communications and collaboration among individuals and teams within the enterprise Publish and share valuable business information easily, inexpensively, and effectively via enterprise information portals Develop and deploy critical applications to support business operations and decision making
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Summary
The primary role of extranets is to link the intranet resources of a company to the intranets of its customers, suppliers, and other business partners. The major generic components of any telecommunications network are:
Terminals Telecommunications processors Communications channels Computers Telecommunications software
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Chapter

6
End of Chapter

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