Cisco Systems describes how Metro Ethernet can add value and attract high-tech tenants

Metro Ethernet: Increasing value for property and real estate

Property owners are finding that Metro Ethernet can increase property values and customer retention to a remarkable degree in both commercial and residential buildings.

Metro Ethernet is a standards-based approach to broadband networking that can enhance the worth of business parks, residential complexes, office buildings, shopping centres. Metro Ethernet is equally applicable to both new developments and retrofitted buildings. First generation broadband services such as DSL are not ideal for the latest data and content rich applications. In contrast, Metro Ethernet is a proven and highly extensible technology that has a unique ability to transform the way tenants choose to live and work. Given the opportunity, tenants want properties that are equipped with Metro Ethernet.

Case point
In Finland, Sonera is delivering Metro Ethernet to thousands of residential customers through its relationship with the Helsinki student housing authority. For these students, Ethernet is just another service along with water and electricity.

In residential environments, Metro Ethernet customers can be offered a basic package of telephony, television and internet access services that are superior to existing incumbent telecoms provider and ISP services in terms of capabilities and value. In addition to the basic telephony/video/Internet package, a wide range of value added services can be delivered to residents, including real time, high quality entertainment, education and ecommerce services.

In business environments, small and large enterprises are finding that Metro Ethernet is the ideal network service for the full range of networked business applications. If business tenants are choosing between two buildings – the one with Metro Ethernet will likely be chosen, considering the competitive advantage it delivers.

In business parks, Metro Ethernet is attracting high-tech tenants that need the seamless network connectivity to stay in the forefront of their industries. In downtown office buildings, vacancy rates can be lowered with Metro Ethernet connections that give customers higher speeds and lower costs. In hotels, Metro Ethernet attracts blue-chip guests and meeting room customers because its high levels of symmetrical bandwidth are ideal for video conferencing, distance learning, streaming on demand entertainment, internet gaming and other applications.  Because it’s based on standard protocols and interfaces, Metro Ethernet in office buildings, travel centres and hotels can be seamlessly extended with wireless data services, giving business travellers a layer of desirable value-added applications – and a big incentive for repeat business.

Case point
In Italy, next-generation broadband services are in high demand by customers, Metro Ethernet connected properties in Milan can fetch up to 25% more that average market value.

Services that attract tenants

Metro Ethernet provides a universal network platform that supports virtually every type of application a business or residential tenant could want. Large enterprise tenants appreciate the lowered costs and more seamless extension of local area networks (LAN). Residential and small business tenants love the fact that they can have the highest possible level of internet access speed plus flat rate phone services and video on demand for a cost that comparable to their current telecommunication bill.

The video on demand services made possible by Metro Ethernet are particularly valued by residential customers. Video on demand lets tenants order hit movies and a full range of TV programs at their own convenience. On demand allows viewers to pause and control broadcast content as if it were coming from a VCR. On demand gives viewers more control over what they watch and when they watch it, so it can attract tenants who prefer the flexibility and freedom this approach allows.

In addition to the revenue opportunities from telephony, video and Internet services, Metro Ethernet is changing the way the security and video surveillance systems are deployed. As it’s based on standard Ethernet and Internet protocols, Metro Ethernet lets property developers add security and surveillance services to building infrastructure at a fraction of the cost of stand-alone CCTV systems. Video surveillance can be added as another application on a residential or business customer without any major change to the underlying cable system or network equipment. This means that surveillance inside buildings and throughout campuses can be integrated with state of the art security systems in a very cost-effective manner. Tenants can even have their own video surveillance systems that they access from anywhere on the internet – which creates piece of mind and a greater appreciation for a property.

Even data from building controls, HVAC, security services and video surveillance can run on the Metro Ethernet, along with tenant voice, video and data services – without the need for expensive leased lines. Because it runs on standard fibre optic and copper cable plants and cost-effective Ethernet devices, Metro Ethernet can be quickly deployed in large office buildings and campus areas or industrial trade parks. A single fibre optic cable run from a building or office park to the local telecoms provider office is enough to support many businesses that pay monthly fees for an ever expanding range of Metro Ethernet based services.


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