Whether you’re looking to upgrade your existing FTTP connection or thinking about installing a high-speed leased line for your new office, this article on leased line vs FTTP will educate you about the top differences between the two.
This is an extension of our previous article on leased line vs broadband.
Leased line vs FTTP differences
Let’s start the discussion with the most prominent difference i.e. technology.
1. The technology
Leased lines provide a dedicated and uncontended connection between the Internet Service Provider (ISP) and the business premises. This means that the bandwidth is not shared with any other users which ensures that the speed and internet performance remains consistent despite peak hours.
The connection is typically direct and always in the form of fibre optic, running from the ISP’s network straight to the business site and they offer symmetrical speeds (equal download and upload speeds).
FTTP, commonly known as full fibre, provides internet connectivity by laying fibre optic cables to the business site. However, unlike leased lines, FTTP connections are contended which means you’ll face speed variation, especially during peak hours.
The route of an FTTP connection involves sending the data from the exchange to the street cabinet and from there to your business premises. It provides asymmetrical speed; the download speeds are always higher than the upload speed.
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2. Bandwidth
Leased lines deliver a maximum bandwidth of 10GB although the most popular speeds range from 100Mbps to 1Gbps. And bear in mind that you will get the entire bandwidth for yourself which means if you get a 100Mbps leased line, your upload and download speeds will always be close to that.
In the case of FTTP, the maximum offered bandwidth is 1Gbps (at the time of writing in 2024) with typical packages ranging from 100Mbps to 300Mbps. You will get variable bandwidth depending on the time of the day and the number of users online at that fixed time.
3. Price
Leased lines are significantly more expensive than FTTP due to their dedicated nature and higher service levels. Businesses can expect to pay between £185 – £270 per month for a 100Mbps leased line while a 1Gbps line can cost around £300 – £650. These price ranges depend on various factors like the leased line provider, the city and the service level agreement (SLA).
E.g. a 100Mb line in London will cost you £200 while it will be available at £250 in Manchester. The table below shows the general rates of leased lines in the UK.
| Internet speed | Monthly charges |
|---|---|
|
100 Mbps |
£185 - £270 |
|
500 Mbps |
£270 - £350 |
|
1 Gbps |
£300 - £650 |
|
10 Gbps |
£600 and above |
In comparison, the cost of FTTP connections is available in the range of £30 to £80 for 100Mbps and 1Gbps bandwidths respectively.
4. Reliability
Leased lines are significantly more reliable than FTTP due to their dedicated connections. This ensures consistent bandwidth and performance, which is crucial for business operations that demand high uptime and stable connectivity.
They come with robust SLAs which promise minimal downtime, rapid issue resolution and proactive monitoring by the service provider, all of which contribute to their superior reliability.
In contrast, FTTP connections share bandwidth among multiple users, which can lead to performance fluctuations. This shared nature, combined with fewer stringent SLAs, results in potential slowdowns and longer response times for resolving issues.
For businesses, this unreliability can disrupt operations like data transfers, cloud services and communication, leading to decreased productivity and customer satisfaction.
5. Installation
Leased lines require a more complex and time-consuming installation process. Typically, it takes 45-85 days (or more) to install a dedicated line, as it involves laying exclusive fibre optic cable directly to the premises of the business. The installation cost can be considerable too, often ranging from £2000 to £30,000 generally, depending on the distance and specific requirements of the location.
FTTP, on the other side, provide quick installation since it uses the existing infrastructure of broadband exchanges and street cabinets. Your business can often get connected within a few days to a couple of weeks (quite uncommon, though). Also, the installation costs are extremely low (£50 to £200), making it a cost-effective and faster option for businesses needing immediate connectivity.
6. Scalability
Scalability is one of the primary benefits of leased lines. These dedicated lines are typically transmitted over a carrier line with higher bandwidth capacity e.g. a 100Mbps line will be delivered over a 1Gbps carrier. Thus businesses can easily scale their leased line services by increasing their bandwidth allocations as their needs grow.
In an FTTP setup, a high-capacity fibre line, such as 10Gbps is divided among multiple subscribers. For example, if a fibre is shared by 10 subscribers, each may receive up to 1Gbps. This limits the potential of scalability for businesses. While many FTTP providers offer high speeds, performance will be influenced by traffic congestion and the number of users sharing the bandwidth nonetheless.
The table below summarises all the points.
| Feature | Leased line | FTTP |
|---|---|---|
|
Technology |
Dedicated line with symmetrical speeds. |
Uncontended line with asymmetrical speeds. |
|
Bandwidth |
100Mbps to 10Gbps. |
Up to 1Gbps. |
|
Price |
Costly. £185 - £270 for a 100MB line. |
Quite cheaper. £30 for a 100MB line. |
|
Reliability |
More reliable. Excellent monitoring and error resolution. |
Less reliable. No stringent SLAs. |
|
Installation process |
Time-consuming and costly. |
Quick and affordable. |
|
Scalability |
More scalable. |
Less scalable. |
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A leased line connection offers dedicated bandwidth, consistent speeds and reliable uptime, ensuring a stable and high-performance network. It also provides enhanced security, lower latency and symmetrical speeds, making is ideal for businesses with high data demands.
You can have full fibre connectivity without any broadband connection or line rental. FTTP doesn’t need a phone line so you can skip paying the monthly broadband rent.
FTTH (Fiber to the Home) and FTTP (Fiber to the Premises) are often used interchangeably, but both refer to fiber optic technology that connects two locations. The choice between them is not a matter of one being better than the other, as they provide the same function.
