MANAGING INFORMATION TECHNOLOGY

7th EDITION

CHAPTER 3
TELECOMMUNICATIONS AND NETWORKING

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-1

 PART 1: IT BUILDING BLOCKS

Building Blocks of Information Technology

Hardware Software Network Data

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-2

 NETWORKING AND TELECOMMUNICATIONS
.

NETWORKING:
The electronic linking of geographically dispersed devices

TELECOMMUNICATIONS:

Communications at a distance, including voice and data

- Also referred to as: data communications, datacom,

teleprocessing, telecom, and networking

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-3

 OVERVIEW OF TELECOMMUNICATIONS AND
NETWORKING

• Telecommunications and networking have become

increasingly important to businesses because of
distributed processing and globalization

Early 1990s prediction came true:

“ …networks will change everything"
- Paul Saffo

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-4

 THE TELECOMMUNICATIONS INDUSTRY

Three Major Segments of Telecom Industry:

• Carriers who own or lease physical plant & sell the

service of communications transmission

• Equipment vendors who manufacture and sell

telecommunications equipment

• Service providers who operate and deliver network

services or provide access to or deliver services via the
Internet
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-5
 THE TELECOMMUNICATIONS INDUSTRY

Example: AT&T

• One of largest carriers in U.S. industry

• In 1984, AT&T split into several companies as a result of a

US Department of Justice antitrust lawsuit

• Breakup of AT&T led to greater innovation through

competition

• But recent trend has been consolidation in the industry

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-6

 REASONS FOR NETWORKING

Five primary reasons for networking

1. Sharing of technology resources

2. Sharing of data
3. Distributed data processing and client/server systems
4. Enhanced communications
5. Marketing outreach

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-7

 REASONS FOR NETWORKING

1. Sharing of technology resources:

• Prior to networking capabilities, computers could not even share
printers….
• Today, PCs share software, mainframes share storage devices, etc.

2. Sharing of data:
• Enables retrieval of data stored on other nodes in the network
• Allows efficient transactions between businesses, their suppliers,
and their customers, based on up-to-date data
• Some businesses share many terabytes of data per day
• Sharing of data via Internet users

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-8

 REASONS FOR NETWORKING
3. Distributed data processing and client/server systems:
Distributed data processing
• Information processing that uses multiple computers at multiple
sites that are tied together through telecommunication lines

Client/server systems
• A type of distributed system in which the processing power is
distributed between a central server and a number of client
computers

Transfer of Data
Client Server

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-9

 REASONS FOR NETWORKING

4. Enhanced communications:
• Telecommunication networks provide the ability to communicate
through Email, Bulletin Boards, Blogs, Instant Messaging, Wikis,
Social network sites, Videoconferencing
• Links between organizations can lead to strategic alliances
o SABRE airline reservation system
o Electronic data interchange (EDI)

5. Marketing outreach:
• Sharing data via the Internet with consumers = an important
marketing and sales channel

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-10

 FUNCTIONS OF A TELECOMMUNICATIONS NETWORK

• A telecommunications network is more than a series of

wires or wireless signals…

Table 3.1
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-11
 ANALOG AND DIGITAL SIGNALS

• Analog Signals
A signal in which some physical property continuously varies
across time

• Digital Signals
A signal that is not a continuous function of time, but rather
a series of discrete values that represent ones and zeros

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-12

 ANALOG AND DIGITAL SIGNALS

• Representation of digital and analog signals

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-13

 ANALOG AND DIGITAL SIGNALS

• Digital computer data does not naturally mesh with analog

transmission; it must be converted from ones and zeros to
analog signals

• Solutions:
• Modem (Modulator/Demodulator)

• Digital networks
• Advantages of lower error rates and higher speeds

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-14

 TYPES OF TRANSMISSION LINES

❖ Private (dedicated physical lines)

• Advantage:
- Ensures quality of transmission
• Disadvantage:
- Costly

❖ Switched (such as public telephone network)

• Advantage:
- Less costly
• Disadvantages:
- Message may take many different routes
- Quality of transmission may degrade

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-15

 TYPES OF TRANSMISSION LINES

• Simplex
Data can only travel in one direction

• Half Duplex
Data can travel in both directions, but not simultaneously

• Full Duplex
Data can travel in both directions at once

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-16

 TRANSMISSION MEDIA

❖Twisted Pair
• Literally, wires that are twisted to reduce interference
• Can be shielded (STP) or unshielded (UTP), but the most
commonly used is UTP
• Medium used for public telephone networks
• Transmission speeds vary greatly

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-17

 TRANSMISSION MEDIA

❖Coaxial (Coax) Cable

• Baseband
- Inexpensive, designed for digital transmission
• Broadband
- Originally for analog, now used for digital
- Commonly used in television cable

Figure 3.2
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-18
 TRANSMISSION MEDIA

❖ Wireless
• Not truly a transmission medium, but rather a broadcast
technology in which radio signals are sent through the air
• Cordless telephones and cellular telephones now widely used

• Wireless technologies:
• Wireless LANs
• Microwave
– Line of sight
• Satellite
– Long distances
– Line of sight
• RFID
• Bluetooth
Wireless Cards
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-19
 TRANSMISSION MEDIA

❖Wireless
• Wireless LANs
- Growing in popularity
- Useful when wiring is not possible
- Slower than some wired solutions
- Allow mobile devices to connect to network

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-20

 TRANSMISSION MEDIA

❖Wireless

• Microwave
- Widespread use for several decades
- Line of sight transmission
- Limited to 25-50 mile distances because of curvature of
the earth
- Expensive, but less costly than fiber optic cables

Microwave Tower

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-21

 TRANSMISSION MEDIA

❖Wireless

• Satellite

1. Geostationary Earth Orbit (GEO)

- Remains stationary relative to earth

2. Low Earth Orbit ( LEO)

- 400 to 1000 miles above earth
Figure 3.3
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-22
 TRANSMISSION MEDIA
LEO projects beginning in 1990s

• Iridium
- First major LEO project with 66 satellites
- Faced high operating costs which resulted in bankruptcy
- Mostly military subscribers

• Globalstar
- LEO project with 40 satellites that does not provide global coverage

• Teledesic
- Ambitious project with original plans to launch 840 satellites
- This was later cut to 288 satellites, then 30, and then the program
was cancelled

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-23

 TRANSMISSION MEDIA

❖Wireless
• RFID
- Acronym for Radio Frequency Identification
- An old technology that became popular in business after
Wal-Mart required the use of RFID by some of its
suppliers to improve inventory and supply chain
management

Wal-Mart and RFID

Wal-Mart CIO on RFID
Wal-Mart gets tough with suppliers about RFID
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-24
 TRANSMISSION MEDIA

❖Wireless
• RFID
• Two Broad Types of RFID tags:

- Active – these tags have their own power supply and can
transmit messages continuously, on request, or on a schedule
✓Cost over $1.00

- Passive – these tags only send a response to an incoming

radio signal
✓Cost in the $0.08 - $0.20 range

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-25

 TRANSMISSION MEDIA

❖Wireless
• Bluetooth
• Named after Danish King who united Denmark
• Short-range radio technology
• Designed to consume very little electrical power and be
produced at a low cost
• Found in a growing number of devices such as cell phones,
laptops, headsets, keyboards, mice, and home appliances
- Thousands of Bluetooth products in use today

Bluetooth Devices
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-26
 TRANSMISSION MEDIA

❖Fiber Optics

• Light pulses through a thin fiber of glass or silica

• Faster and more reliable than other media

• Large diameter fiber is multimode (multiple light rays at the

same time) while smaller diameter is single mode
• But smaller diameter fiber has larger capacity due to light
rays bouncing less….

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-27

 NETWORK ACCESS FOR INDIVIDUALS
• Internet Service Providers (ISPs) sell access to the Internet

• Consumers now have more options including faster broadband connections

- Digital Subscriber Line (DSL) is a connection through a telephone company
- Cable modem is a connection through a cable television company
- Satellite
• With one-way service, individuals must obtain uplink service from another
provider
- Other Wireless access may be through a municipal carrier or a private
company

• Pricing methods for personal Internet access

- Fixed price (usually monthly plans)
- But hotels, airports, cafes, etc. now offer Internet access for short periods of time
- Cost based on usage (data transferred)
- Also offered “free” to customers in various locations
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-28
 NETWORK TOPOLOGY
Network topology = configuration or arrangement of the devices

• Bus
- All devices are attached to one cable
- Single-point failure
• Ring
- Similar to bus, but ends are attached
- Not susceptible to single-point failure
• Star
- All nodes are attached to central device
- Susceptible to failure of central device, but easy to
identify cable failure
• Tree
- Similar to the star, but with a hierarchical structure
• Mesh
- Devices link to multiple other devices
- A failure has little impact on the network, but costly
Figure 3.4
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-29
 NETWORK TYPES

Six types:

1. Computer Telecommunications Networks

2. Local Area Networks (LANs)
3. Backbone Networks
4. Wide Area Networks (WANs)
5. The Internet
6. Internet2

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-30

 NETWORK TYPES

1. Computer Telecommunications Networks:

• This was the only type of network until the 1980s
• Commonly used in mainframe architectures

Figure 3.5
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-31
 NETWORK TYPES

2. Local Area Networks (LANs)

- Standards developed by the Institute for Electrical and
Electronic Engineering (IEEE)
IEEE 802 is a family of standards for LANs and metropolitan area networks

- Five types of LANs in common use today – 3 wired, 2 wireless

o Contention Bus (IEEE 802.3)
o Token Bus (IEEE 802.4)
o Token Ring (IEEE 802.5)

o Wi-Fi (IEEE 802.11)

o WiMAX (IEEE 802.16e)
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-32
 NETWORK TYPES - LAN

o Contention Bus (IEEE 802.3)

- Developed by Xerox

- Usually called Ethernet after the original Xerox version

- Half-duplex

- All devices must contend to use

• CSMA/CD protocol for collisions

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-33

 NETWORK TYPES - LAN

o Token Bus (IEEE 802.4)

- A token (special message) is passed among devices
- Only the device with the token can transmit a message
- Important for Manufacturing Automation Protocol (MAP)

o Token Ring (IEEE 802.5)

- Developed by IBM
- Combination of ring topology with use of tokens (used the
same way as in token bus)

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-34

 NETWORK TYPES - LAN

o Wi-Fi (IEEE 802.11)

- Short for Wireless Fidelity
- Most common wireless LAN type today

- Uses a shared Ethernet design

- CSMA/CA Protocol
• Similar to CSMA/CD, but with less collisions
- Commonly used in offices to supplement wired Ethernet
networks and support mobile devices, or in areas where
adding hardwiring is problematic
- Many U.S. cities are offering Wi-Fi networks

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-35

 NETWORK TYPES

o WiMAX (802.16e)
- Newest of the network types
- Similar to Wi-Fi, but operates over longer distances and at
higher speeds

- Can use both licensed and non-licensed frequencies

- Clearwire = leading vendor at this time

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-36

 NETWORK TYPES

Wireless Local Area Networks: Some Implementation Problems

- More difficult to secure than other network types

- Organizations that offer wireless access to entice customers

have problems with non-customers or unprofitable customers
overusing the network

- Unauthorized wireless use is also problematic in condos and

apartments

Multiple Unsecured Wireless Networks

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-37

 NETWORK TYPES

3. Backbone Networks

• Connect LANs
• Key to internetworking

Figure 3.8
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-38
 BACKBONE NETWORK DEVICES
Hardware devices for backbone (middle-distance) networks

•Hub: Simple device that forwards all messages to every device

attached to it
•Wireless Access Point: Central device that connects wireless LAN to
other networks
•Bridge: Connects two LAN segments and only forwards messages
that need to go to other segment
•Switch: A multiport bridge; connects two or more LAN segments
•Router: Connects two ore more LANs and only forwards messages
that go to the other LAN

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-39

 NETWORK TYPES

4. Wide Area Networks (WANs)

• Similar to LANs, but cover greater distances (“long-haul”)

• We will consider the following three general types of WANs
because they each have advantages and disadvantages:

- Switched Circuit
- Dedicated Lines
- Packet-switched

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-40

 NETWORK TYPES - WAN
Switched Circuit (or circuit-switched):
• A single physical path is temporarily created between two nodes for
their exclusive communication
• Most widely available means of implementing a WAN using a
switched circuit connection is to use the ordinary telephone network
• Advantages
- Easy to set up
• Disadvantages
- Low speed
- High error rates
• There are two different pricing schemes available for this service
- Direct Distance Dialing (DDD) - pay for usage
- Wide Area Telephone Service (WATS) - fixed rate
3-41
 NETWORK TYPES - WAN
Dedicated Lines:
• These are permanent channels exclusive
to the business
• Advantages
- High capacity
- Low error rates
• Disadvantages
- Expensive

• Two different types of dedicated circuits:

- Leased lines are cable, microwave, or fiber
connections
- Satellite circuits are popular for
organizations with many global locations
- SONET lines are high-capacity leased fiber
lines Wide Area Networks
3-42
 NETWORK TYPES - WAN
Packet-switched:
• Multiple connections exist simultaneously over the same physical
circuit
• Messages are broken up into packets
• Businesses use PADs (Packet assembly/disassembly devices) to
connect their networks to a common carrier network

• Advantages
- Efficient use of network
- Can be high capacity
• Disadvantages
- Packets may arrive in different
order or with delay

Figure 3.9
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-43
 NETWORK TYPES
5. The Internet
- Network of networks that use the TCP/IP protocol
- Similar to an enormous WAN
- 733 million hosts as of January 2010

- Began with ARPANET and NSFNET

• ARPANET (Advanced Research Projects Agency Network)
was created by the US Department of Defense
• NSFNET (National Science Foundation Network) was
created to link supercomputers for research
• Each of these were largescale, packet-switching networks
that led to the creation of the Internet
ARPANET
NSFNET
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-44
 NETWORK TYPES
Internet Applications

3-45
 NETWORK TYPES
6. Internet2
- Not-for-profit consortium made up of over 200 universities, as
well as industry and government partners, to develop and deploy
advanced network applications and technologies for research and
commercial purposes
- Goals
• Create a leading-edge network capability for the national
research community
• Enable revolutionary Internet applications based on a much
higher-performance Internet than we have today
• Ensure the rapid transfer of new network services and
applications to the broader Internet community

3-46
 NETWORKING PROTOCOLS
• Network Protocols
– An agreed-upon set of rules or
conventions governing communication
among elements of a network
– Open Systems Interconnection (OSI)
Reference Model
• Skeleton for standards developed by
International Organization for
Standardization (ISO)
• Conceptual framework to understand
how communications in networks take
place

Figure 3.11
3-47
 NETWORKING PROTOCOLS
• Transmission Control Protocol/Internet Protocol (TCP/IP)

• Created to link different types of networks (e.g., satellite and

ground packet networks) together into a network of networks

• Has become de facto standard protocol for networking

-TCP is responsible for the reliable and ordered transmission of

messages

- IP is responsible for routing individual packets based on their

individual addresses (IP addresses)

• Roughly corresponds to network and transport layers of OSI

model
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-48
 NETWORKNG HAS BECOME CRITICAL TO DO BUSINESS

• Networking and Telecommunications have become necessary

for businesses to function

• Increasing access to the Internet in developing countries due to

new lines being funded by private and public organizations

Impact of cut Internet cables in Middle East - 2008

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 3-49