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What You Need to Know About Interconnection in IT: Empowering Seamless Connectivity
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What You Need to Know About Interconnection in IT: Empowering Seamless Connectivity

What You Need to Know About Interconnection in IT: Empowering Seamless Connectivity

  • Updated on February 2, 2023
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  • 4 min read

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In IT, the term “interconnection” refers to the practice of connecting different infrastructure elements. This is generally done to make it easier for people to access and use resources. Interconnection can mean connecting different types of networks. It can also mean connecting different types of devices. Often, it means a combination of both.

The practicalities of interconnection

As with other systems, the more interconnected components you have, the more complicated the system becomes. The key to making interconnection work is enabling the various components to communicate with each other effectively. This is done through the use of common protocols and standard network technologies.

Protocols for interconnection

The two main protocols used for interconnection are TCP/IP (Transmission Control Protocol/Internet Protocol) and BGP/IP (Border Gateway Protocol). TCP/IP is the most common networking protocol in use today. It governs the workings of LANs (Local Area Networks and WANs (Wide Area Networks) as well as the internet.

TCP/IP essentially creates a path between two endpoints. BGP essentially functions as an application that sits on top of TCP/IP. When there is more than one path toward the desired endpoint, BGP will identify which one is best.

Technologies for interconnection

Ethernet (technically known as IEEE 802.3) is the baseline technology for interconnection. It is a combination of a protocol and associated hardware. Ethernet is the backbone of most wired networks. These days, this tends to mean that it is used at the core of the network. It creates high-speed connections through the key components of network infrastructure.

Wireless Fidelity (based on the IEEE 802.11 family of standards) is much better known as WiFi. It is a combination of a protocol and a radio signal. As its name suggests, WiFi creates wireless connections between networked devices. It is used where mobility is more important than raw power. This tends to mean at the edges of networks.

Multi-Protocol Label Switching (MPLS) is used to create Virtual Private Networks (VPNs). VPNs are often known as tunnels. They are a means of creating secured paths for data to travel through networks.

VPNs are mainly used when data is sent over the public internet. They are particularly important when people have to use connections they cannot secure. The most obvious example of this is public WiFi. Arguably, internet connections used by remote workers also fall into this category. Remote workers may not have the IT skills to secure them properly.

The benefits of interconnection

Modern enterprises rely on interconnection solutions to connect networks, cloud providers, and colocation partners. The benefits of interconnection in IT are much the same as the benefits of interconnection in other environments. The main ones are improved performance, increased reliability, more flexibility, better scalability, and higher security.

Improved performance

The more connectivity options you have, the more chance you have of finding the perfect option in any situation.

For example, you could choose to have numerous LANs leading up to WANs and then the internet. This would allow smaller locations to keep most of their traffic internal. They would, however, still have wider connectivity when they needed it.

The local area networks could be customized to the exact requirements of the users. They would take some of the pressure off the WANs and then the internet. Everyone would benefit.

Increased reliability

Using interconnection essentially gives you a much bigger pool of network resources from which to draw. This means that any failures at any point of the overall network are likely to have a much smaller impact.

For example, if a LAN fails a WAN can take over. If a WAN fails, the internet can take over. If the internet fails, traffic can still be handled on LANs and/or WANs.

More flexibility

Similarly to the previous point, using interconnection increases your options. In particular, it gives you far greater opportunities for managing traffic in line with your business priorities.

Better scalability

Interconnection fits perfectly with the modern preference for modular design. It’s now widely understood that separating out different components of an overall system makes the system easier to manage.

In particular, using interconnection means that changes are easier to implement. Essentially, you just have to work on a small element of a whole rather than a whole. Just as importantly, it means that changes are easier to back out of if they do go wrong.

Higher security

Again, using interconnection gives you more options for handling your data in the most secure way. For example, you could choose between having data handled at the source versus sending it to be processed in a remote location. If you did choose to send it to a remote location, then you could choose between using a WAN and using the internet.

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Frequently Asked Questions


  • How is interconnection different from traditional networking?
    Traditional networking focuses on connecting your own infrastructure together, while interconnection focuses on connecting your infrastructure directly to external networks, clouds, and partners without going through the public internet. The distinction matters because interconnection delivers performance, security, and cost characteristics that public transit simply cannot match for high-value workloads. It is increasingly the difference between a strategic and a commodity network architecture.
  • What workloads should we prioritize for private interconnection?
    The first candidates are anything that moves significant data volumes, anything subject to compliance requirements, anything with strict latency or jitter sensitivity, and any hybrid cloud workloads that transit data regularly. Customer-facing applications where user experience depends on consistent response times also benefit substantially. Workloads with low traffic and no special requirements can usually stay on public transit without issue.
  • How does interconnection support multi-cloud strategies?
    Multi-cloud only works well when each cloud is reachable through a private, predictable connection rather than over the public internet, because performance, security, and cost all degrade significantly otherwise. Interconnection hubs that offer direct on-ramps to multiple hyperscalers from a single location let you run truly multi-cloud architectures without the operational complexity of managing separate transit paths to each. It is what makes the multi-cloud promise practical.
  • What is the typical ROI timeline on interconnection investment?
    For most mid-to-large enterprises, the ROI shows up within 12 to 18 months through bandwidth cost reduction, improved application performance, and avoided incidents that would have impacted business operations. The harder-to-measure benefits, including architectural flexibility and faster time-to-market for new initiatives, often deliver larger long-term value but do not show up in a simple ROI calculation. Frame the business case around both.
  • How do we measure the success of an interconnection program?
    Track network performance metrics like latency, jitter, and packet loss for critical traffic flows, cost-per-gigabyte trends as you shift traffic off public transit, and incident rates for connectivity-dependent applications. Beyond technical metrics, watch how quickly new partner integrations, cloud workloads, and edge sites can be brought online. A mature interconnection program shortens project timelines across the board.

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