Total Cost of Ownership


Total Cost of Ownership

Energy costs are soaring across Europe as a result of the Nord Stream pipeline shutdown and the skyrocketing costs of obtaining natural gas. European energy ministers are meeting in Brussels to debate plans for price intervention. According to a Goldman Sachs report, short of dramatic intervention, many countries in Europe could see electric rates increase by 200%. However, according to a Wall Street Journal article, not much is expected to change in the short term, as difficult proposals are discussed. A similar situation is unfolding in the United States. Soaring temperatures across the country and the decommissioning of some powerful nuclear generating plants are causing an energy imbalance resulting in threats of rolling blackouts and higher prices.


It is through this lens that we take a look at Total Cost of Ownership (TCO) calculations when purchasing network equipment. With energy costs on the rise, it is important to include the year-over-year cost of powering the equipment in your network.