Save Over $100,000 with a 10x10 Link

It might interest the reader to know that the list price for a 100GBASE-LR4 CFP module is over $100,000.  If you search google on “100GBASE-LR4 Price”, you’ll find PC Microstore sells 100GBASE-LR4 CFPs for $186,566.23 (excluding shipping) - http://www.pcmicrostore.com/JUNIPER-100GBASE-LR4-CFP-PLUGGABLE-COMPLIANT-MODULE-WITH-IEEE-8023BA/cat-p/c/p3548688.html . PCI Microstore says this is half off the list price of $373,121.27, so they offer a nice savings over what some people might have to pay. 

If you really want savings, use 10x10 modules for your 100GbE link.  The 10x10 MSA has the goal of the 10x10 module being less than half the price of the 100GBASE-LR4 CFP.  Since two modules are needed to create a link, the savings for a link would be about the cost of a 100GBASE-LR4 module or $186,568.23. 

In Table 1, the cost of a 10x10 CFP is assumed to be $1 less than half the cost of a 100GBASE-LR4 CFP ($186,566.23 / 2 – $1 = $93,282.13).  The cost of the modules for a 10km link is about $370,000 for 100GBASE-LR4 and about $190,000 for the 2 km 10x10 link.  Since these are list prices and discounts are probably available, it is safe to assume that a user can still save over $100,000 if their link is only going a few hundred meters or a couple of kilometers.

Table 1: Cost Savings with a 10x10 Link

Module Type	Cost of Module	Number of Modules	Module Cost per Link
100GBASE-LR4 CFPs	$  186,566.23	2	$       373,132.46
10x10 CFPs	$    93,282.12*	2	$       186,564.23
		Savings	$       186,568.23

* This is a calculated price that is $1 less than half the advertised price of the 100GBASE-LR4 module that is referenced above.  This is not a suggested sales price for the module which is likely less.

It is easy to see the capital expenditure (Capex) savings from using the 10x10 solution over the 100GBASE-LR4 solution if the user doesn’t need to go over 2 km.  This blog post only compares the cost of replacing the 100GBASE-LR4 CFP with a 10x10CFP and does not discuss the additional costs of the 100GbE blade, switch or single-mode fibers which would be the same for either implementation.

Google has shown that the cost of the 10x10 CFP is expected to be about the price of a 10GBASE-LR XFP in 2012 on a Gbps basis, while the 100GBASE-LR4 solution is still over 6 times as expensive.  This Google presentation (http://10x10msa.org/documents.htm) was given at ECOC 2010 and showed how the cost of the 10x10 solution (called LR10 in the presentation) will reach price/bandwidth parity with the 10GBASE-LR XFP in 2012.  The other solutions, specifically 100GBASE-LR4, will always be more expensive than 10x10 because of low volumes and its inherent cost structures. 

The 10x10 solution also saves with regards to operating expenses (Opex).  Since the 10x10 consumes about 14 Watts/module versus 20W/module for a 100GBASE-LR4 solution.  A link will save about 12 Watts or 105 kWh/year.  When you consider the power to cool the modules, the Opex savings add up fast.

The 10x10 CFP solution is designed to be the most cost effective single-mode solution in the market.   This post shows how the initial price lead of the 10x10 puts it so far ahead of the competition that they will never catch up.  After saving capex, the 10x10 will also save you opex.  What more could you ask for?