How Much Does an MPLS Outage Cost?

For a long time, most companies’ go-to method has been Multi-Protocol Label Switching or MPLS. MPLS ensures data packets arrive at their intended destination, using the required pathway to reach there at the same time. In order to ensure every packet gets to its location on time, the MPLS network arranges the data packets, ranging them from the most to the least critical. 

It does this by labeling the data packets. In doing so, it assist the switches to recognize what action they should take when a particular label reaches them. At anytime, network administrators can change the label of the data packets by adding, renaming, and deleting it. Even though the MPLS network may be the most widely used network, it is not in any way the most reliable one. You never know when a network outage can occur, causing the whole network to shutdown. 

Only the Company Suffers During a MPLS Network Outage

The deadline of a big project is around the corner and you, along with your employees, are frantically working to meet it. You have three days left until you mark the project as successfully closed. What you are not aware of while you are immersed in work is the dilemma you will encounter in the next hour.

Your network begins to slow down and suddenly, the internet stops working. You contact the network administrator to look into the issue quickly, as you do not have any time to spare. Before the network administrator can even look to see what is wrong, the network shuts down. 

You have just suffered a network outage and now, it will take you longer than you expected to complete the project. You may as well have to request the client to give you one more day to complete the project, no matter how bad of an impression it puts on your company. We have only described the worst case scenario here, but this is not to say that companies in the past have not suffered from an unexpected MPLS network outage. The cost sustained due to a MPLS network outage is huge!

Estimated Cost of an MPLS Network Outage

During a MPLS network outage, your company’s expenses go up automatically. With each hour the internet remains out of order, you can feel the money disappearing from your bank account. It is said that the longer your internet remains shutdown, the more money you are prone to lose. 

An estimated cost of an MPLS network outage is $5,600 per minute, which extrapolates to more than $300 per hour. You need a solution to ensure your network outages do not disturb the progress you have made so far in a project during the day. 

What you need is our solution for network redundancy. Network redundancy will make sure that you always remain connected to the internet. If it detects a failed route, it quickly reroutes to one that is fully functional. You will never have to go into a panic, as it will put a stop to MPLS network outages. Contact us to learn more.