Understanding Total Cost of Ownership (TCO)

The true cost of network infrastructure goes far beyond the initial purchase price. TCO reveals the complete financial picture.

The TCO Iceberg

Total Cost of Ownership (TCO) is a comprehensive financial estimate that calculates all direct and indirect costs associated with acquiring, deploying, operating, and maintaining network infrastructure over its lifecycle — typically 3 to 5 years.

Like an iceberg, the purchase price is just the visible tip. The real costs are hidden beneath the surface.

Visible (20-30% of TCO)

Hardware Price
water line

Hidden (70-80% of TCO)

Maintenance & Support
IT Staff Salaries
Downtime & Outages
Deployment & Installation
Security Management
Equipment Replacement

Key Takeaways

Purchase price is only 20-30% of TCO

The majority of costs are hidden operational expenses throughout the equipment lifecycle

Speed of implementation matters

Delayed deployment directly impacts your ROI and competitive positioning

Predictability reduces risk

Fixed monthly fees eliminate budget surprises and enable better financial planning

Interactive TCO Calculator

Answer a few questions about your network needs and get an instant comparison between traditional infrastructure ownership and Subscription-based IT Infrastructure.

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Our engineers will build a detailed cost model for your specific environment.