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Below is some useful information that will help you understand what T1 connections are all about:
|The designation T-1 stands for
One, it is a digital transmission link with a total speed of 1.544 Mbps
Bits per Second (Mbps). A T-1 connection rate is comprised of two
local loop charge, which is the phone circuit that connects your
to the closest phone company central office and the bandwidth access
A T1 provides 1.5 MB of bandwidth. The local loop cost is usually more than half the total charge. T-1 circuits are usually used by business customers, the cost is too high for residential users, unless it is a home based business that needs a solid upstream connection. The best choice is a DSL or cable connection for residential locations. If you need to host a web site for a residential location, then collocation or shared hosting is usually a better value.
The variable that will help you get a lower monthly rate is location. If your location is closer to the POP, the rate will be closer to $250 or $450 per month. If you are from 5 to 25 miles from the POP, the rate will be closer to $500 per month. If you are further than 25 miles from the POP, the rate will range from $750 to as much as $1,500 per month.
If you you are looking for higher bandwidths than the standard 1.5 Mb, then bonded T-1s are the next step up before you have to resort to a T3 connection or dedicated Ethernet. Bonded T-1s come in multiples of 1.5 Mb, like 3 Mb, 4.5 Mb, 6 Mb, 7.5 Mb, 9 Mb, etc. The limit for most providers is usually 12 bonded T-1s for a total of 18 Mb. Bonded connections are a good choice if you do not expect to need more than 18 Mb of total bandwidth and if the local loop distance is high. In most cases, you will still save money on a bonded connection over a T3 connection.
The next big improvement in DIA connections is Dedicated Ethernet. Since the local loop cost is much lower, this will eventually become the major type of connection for high bandwidth delivery. Bandwidth for Ethernet connections range from 3 MB to 10 GB. Metro areas will be the first to have this option as it is rolled out across the county.