Reliable, fast internet is a hot topic in the real estate community, with developers and real estate professionals comparing the necessity of integrating the fastest speeds into new buildings to the importance of installing plumbing. The importance factor has been upped due to the demand of tenants. As put by Greg Mcdonald, director of telecom support for Greystar, a real estate management group, “I wouldn’t say (renters) ask for it. They expect it. If it’s not there, they won’t live (or work) there.” He continues, Millennials in particular have come to expect the highest internet speeds. As more and more of our daily activities are based online, for many, high-speed internet also serves as the source of television and phone service.
According to Lee Bienstock, a Google executive from New York, we’re way beyond the thinking that “everyone is connected”. In fact, it’s at the point where “everything is connected”. Americans will on average have 50 web-connected devices in their homes in about five years, which will all run on broadband networks that will be on task to handle this massive traffic. As a result, these buildings will have to be developed with a level of connectivity that is capable of handling this many devices, or undergo expensive retrofits; a cost no developer is willing to or wants to pay.
Even more important to consider are the many benefits to commercial real estate owners that broadband internet provides. First is the efficiency that faster speeds provide a company. Every second that is spent waiting for pages to load is a second wasted, and because time is money, slow internet is a waste of money as well.
Second, your slow internet speed may not be attributed solely to your provider. Your building’s IT infrastructure, design, and construction materials may also play a big part in communication performance. A thorough assessment is recommended for facilities to achieve optimal performance.
Fast internet also means faster uploads. The standard is a minimum of 3 Mbps per second upload, however many business plans are significantly larger than that. Another benefit of high speed Internet is the reduction of costs it provides. One way it affects the bottom line is by allowing companies to use Voice over Internet Protocol (VoIP), a technology that uses the Internet to make phone calls and almost always requires a broadband connection. Grant Thorton Inc., for example, saved $800,000 dollars the first year they used a VoIP setup.
Last but not least is the positive effect broadband has on fostering better collaboration between employees, especially when the company uses sharing platforms such as Google Documents. Broadband enables the use of more electronic devices in general, which directly translates to an increase in revenue. According to testimony by Department of Commerce Assistant Secretary for Communications, Lawrence Strickling, before the House Small Business Committee, “A SNG study of 600 North Carolina businesses demonstrated a direct correlation between revenue growth and the use of broadband technologies (what SNG terms “e-solutions”).” Companies that adopted cutting edge broadband-enabled technologies found an increase in revenue of 27-31%. This means that cutting edge broadband technology isn’t a luxury amenity for commercial real estate owners, it’s a necessity. After all, you wouldn’t run a business without running water, gas or electric, so why would you run one without the best broadband technology available? (Portions of this article were drawn from Everstream)
Americom Technology has been partnering with developers, contractors, and CRE management professionals for over 37-years. Ameicom’s expertise in information technology and communication infrastructure have provided thousands of professionals with state of the art information technology solutions. From new-builds to existing structures, Americom will keep your broadband technology up-to-code and up-to-date with room to grow.
Call today and ask about a “free building assessment” and see why Americom is the right choice for your building communication networks. 801-892-0500 – Americomtech.com