DS3 requires fiber or other forms of special wiring to reach each business location. This is very important because new customers, or customers considering upgrading from t1, bonded t1, or ethernet over copper, must pay for this wiring (build-out cost) before their building can receive t3 or OC circuits. Buildings which are connected to fiber, and therefore able to receive DS3 are referred to as being “lit”. It is not uncommon for customers to fail to plan for this unexpected upfront cost when planning the installation of DS3. Build-out often costs tens of thousands of dollars.
DS3 is a 45 mbps (megabits per second) circuit. A DS3, commonly referred to as T3, is the equivalent of 28 DS1s (commonly known as T1s). DS3 is commonly used for large: point-to-point (private line) circuits, MPLS (multiprotocol label switching) VPNs (Virtual Private Networks), internet traffic, call centers, video conferencing and broadcast quality video transmission. DS3 price is determined by market conditions, cost of facilities, and most important, distance from the point of presence (PoP) of the quoting provider. The further a business is from the PoP, the more it costs to extend a DS3 circuit to this business. Another aspect of DS3 price is the “build-out” of proper wiring to and at the served premise. DS3 requires special wiring. Most businesses are not properly wired, or “lit” for DS3. In these cases, installation of appropriate wiring can cost thousands of dollars. If the end user needs less than 12 mbps, bonded DS1 (bonded T1) can be a much less expensive alternative. Since a bonded DS1 circuit only requires two pairs of phone lines, it can be installed free of charge to virtually any business location in the US.