28. April 2023 | Print article | | |

Multi-Carrier Access as a Guarantee Against System Failure

Companies with nationwide branches in Germany need secure IT structures – and reliable redundancy systems when the internet connection falters and stutters. So-called multi-carrier concepts excel precisely in this area.

Need to quickly buy some shower gel at “dm” or “Rossmann”? Or perhaps a delicious ready-made pizza from “Edeka” or the offer salami at “Aldi Nord”? This is everyday practice in Germany. Not so in May of last year. Then, nationwide, many cash registers at German discount stores, supermarkets, or drugstores stopped working altogether for days. Only cash was accepted; the card readers for all common debit, Maestro, or credit cards had stopped working due to technical issues. Frustrated customers stood helplessly without cash and with non-functioning cards at the registers. The cause of the disruption was a certificate error within certain versions of the software provided by Verifone, according to payment provider Payone.

98.5 Percent Network Availability Means More Than Five Days of Downtime

This example shows: As automation and digitalization increase, especially in the German retail sector, so do the risks for retailers. If something goes wrong, the entire store can come to a standstill. It doesn’t help if, for example, DSL providers promise their business customers a service availability of about 98.5 percent. “No one offers more. Conversely, this means: The line can be down for a total of five and a half days a year – and the contract is still fulfilled,” says Sascha Korten. He is Director of Solutions Sales at Ostertag DeTeWe. The company acts as a system house for cloud-based and on-premises ITK solutions and system integration in Germany. Around 400 employees at 14 locations nationwide primarily support medium-sized companies in modernizing their ITK systems.

“All-IP” Proves to be a Bottleneck

Five days without a network can quickly turn into an existential crisis for a company in the retail sector. Above all, the well-intentioned “All-IP” makes the communication infrastructure of retail companies so vulnerable.

Today, companies need various lines – in retail, for example, for scanning barcodes at the register, processing payments, communication between company departments, controlling electronic price tags, or for a customer Wi-Fi. “All these processes were previously managed via individual lines. Today, many retail companies use All-IP, i.e., a main line that is divided into various sub-lines. The problem: Such a solution is prone to disruptions and failures the more services it bundles,” explains Korten.

Because it seems so uncomplicated, companies put everything on one card: All-IP, which combines all applications in one line. However, this only works as long as the line is free of disruptions. Fallback solutions in the form of securing redundancy systems are usually missing. “If the All-IP main line fails, operations in all branches come to a near standstill. Neither scanner cash registers nor card payment readers work,” warns Ostertag expert Korten.

A secure system – especially for nationwide retail chains, system gastronomy, other franchise chains, or fitness studios – requires a coherent and secured overall concept instead. The basis for this are redundant IT structures that can be used when the main line encounters a problem.

Diversity Makes Building Redundancy Systems Challenging

Korten also knows about the biggest challenge with regionally very diverse business models: “Anyone operating branches in different federal states cooperates with many different network operators due to availability or simply because of the applicable stock corporation law. Ironically, this diversity makes building redundancy systems difficult. Usually, the provider packages are not compatible.”

The answer to this challenge is: Multi-carrier concepts. Here, all services are bundled across providers. Thanks to the cooperations, internet access and site networking are possible everywhere in Germany. “When selecting a multi-carrier concept, companies should ensure that all major infrastructure companies are among the partners. Additionally, the provider should rely on as many cooperating service providers as possible,” says Korten.

TL;DR

  • Multi-carrier concepts create redundant IT structures and prevent total failures during network disruptions
  • All-IP bundles all services in one line – if it fails, the entire operation comes to a standstill
  • Especially retail chains, franchise systems, and companies with many locations need provider-independent redundancy

Key Facts

Availability: 98.5 percent with a DSL provider sounds good – but allows 5.5 days of total failure per year

All-IP Risk: The more services are bundled, the more severe the consequences of a single line failure

Solution: Multi-carrier concepts bundle services across providers for nationwide redundancy

Target Group: Retail chains, system gastronomy, franchise chains, fitness studios with many locations

Fact: Only 43 percent of German SMEs have an IT emergency plan, according to Bitkom.

Fact: The number of newly discovered malware variants daily is over 450,000, according to AV-TEST.

Frequently Asked Questions

What is a multi-carrier concept?

A multi-carrier concept bundles telecommunications services from various providers into a unified system. This creates redundancy: If a provider or line fails, others automatically take over operations.

Why is All-IP a security risk?

All-IP combines all communication services of a location – cash register, card payment, internal communication, Wi-Fi – into a single line. In case of a failure, all services are immediately affected, and the entire operation comes to a standstill.

For which companies are multi-carrier solutions relevant?

Especially for companies with many nationwide locations such as retail chains, franchise systems, system gastronomy, and fitness studios. The more branches operated, the more likely regional network disruptions.

What does 98.5 percent network availability mean concretely?

An availability of 98.5 percent allows approximately 5.5 days of failure per year – and the contract is still fulfilled. For companies that depend on permanent connectivity, this is an unacceptable risk.

What should you pay attention to when selecting a multi-carrier provider?

The provider should cooperate with all major infrastructure companies and be able to rely on as many service providers as possible. Only then is genuine nationwide coverage with seamless redundancy ensured.

Further Reading in the Network

Cloud Infrastructure and Network Redundancy on cloudmagazin.com

IT Infrastructure for SMEs on mybusinessfuture.com

Network Resilience as a Management Task on digital-chiefs.de

Related Articles

Header Image Source: Freepik

Tobias Massow

About the author: Tobias Massow

More articles by

Also available in

FrançaisEspañolDeutsch
A magazine by Evernine Media GmbH