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Telecosm Series


The Coming of the Fibersphere
The New Rule of Wireless

Issaquah Miracle

Metcalfe's Law and Legacy

Digital Dark Horse—Newspapers

Life After Television, Updated


Auctioning The Airways


Washington's Bogeymen


Ethersphere


The Bandwidth Tidal Wave

Gilder Meets His Critics

Mike Milken & The Two Trillion Dollar Opportunity

From Wires To Waves

The Coming Software Shift
Angst And Awe On The Internet

Goliath At Bay

Feasting On The Giant Peach

Fiber Keeps Its Promise

Inventing The Internet Again

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  Telecosm Series


page 3 of 6

Metcalf's Law and Legacy


The enduring magic of ethernets stems from the law of the microcosm, favoring distributed terminals over centralized hierarchies, peer networks of PCs over mainframe pyramids. The microcosm’s relentless price/performance gains on chips have endowed Metcalfe’s peer-to-peer scheme with ever more powerful peers, at ever lower prices. Medium-independent from the outset, the Metcalfe systems do not require central switching. In an ethernet system the intelligence is entirely in the terminals, not in the network itself, and most of the bandwidth is local (where some 80 percent of traffic resides).

Although this ATM is expected to gush jackpots of cash for gaggles of network companies and investors, it is unrelated to its acronymic twin, automatic teller machines. Think of ATM rather as an automated postal center that takes messages (of any size or addressing scheme), chops them up, puts them into standardized little envelopes and figures the best routes to their destinations in billionths of a second. The magic of ATM comes from restricting its services to those uniform envelopes (called cells) of 53 bytes apiece (including a five-byte address) and creating for each envelope what is called a virtual circuit through the network. These features make it unnecessary for intermediate switches in the network to check the address; the cell flashes through the system on a precomputed course.

A compromise defined by phone companies as the longest packet size that can handle voice in real time, 53-byte cells are also short enough to be entirely routed and switched in cheap hardware; i.e., microchips. This means that the ATM postal center can function at speeds of up to 155 megabits per second or even higher. Perhaps most attractive of all, ATM can handle multimedia data, such as digital movies or teleconferences, with voice, text and video that must arrive together at the same time in perfect sync. As the world moves toward multimedia, the industry is flocking toward ATM, the innovation that can make it possible.

Ethernet: A Legacy LAN?
By contrast, Ethernet seems old and slow: the vacuum tube of computer communications. Think of it, crudely, as a system where all the messages are cast into the ocean and picked up by terminals on the beach which scan the tides for letters addressed to them. Obviously, this system would work only if the beach terminals could suck up and filter tremendous quantities of sea water. The magic of ethernet comes from the ever growing power of computer terminals. The microcosm supplies sufficiently powerful filtering chips—chiefly digital signal processors improving their powers some tenfold every two years—to sort mail and messages in the vasty deep. This is quite a trick. To the experts, it seems unlikely to prevail for long against the fabulously swift switching of ATM.

True, there is some confusion about just how, where and when this miracle cure will arrive. The industry’s leading intellectual, Robert Lucky of Bellcore—a paragon of long- distance networks—predicts that ATM will come first in local area networks, while Metcalfe, of local area network fame, thinks it will come first in wide area networks. James Chiddix of Time- Warner Cable is probably right in predicting digital cable pay- per-view as the first big ATM customer, using it for broadcasting films in his 500-channel digital cable TV project in Orlando. But most experts agree that one way or another ATM will blow away Ethernet during the next decade or so.

Nonetheless, as usual, conventional wisdom is wrong. Ethernet is quietly preparing for a new era of hegemony in the marketplace for computer connections.

The reason Ethernet prevailed in the first place is that, in the words of Ronald Schmidt, “it was incredibly simple and elegant and robust.” In other words, it is cheap and simple for the user. Customers can preserve their installed base of equipment while the network companies innovate with new transmission media. When the network moves to new kinds of copper wires or from one mode of fiber optics to another, Ethernet still looks essentially the same to the computers attached to it. Most of the processing—connecting the user to the network, sensing a carrier frequency on the wire and detecting collisions—can be done on one Ethernet controller chip that costs a few dollars.

As Metcalfe described the conception of this technology in 1981, “I explored the advantages of moving the transceiver down out of the ceiling onto the adapter board in the host computer. I had seen many actual Ethernet installations in which our brick transceivers were not up in the ceiling tapping into the ether cable, as they were supposed to be...but instead were on floors behind computers, dropped in the centers of neatly coiled transceiver cables.... We were discovering that the people buying personal computers and workstations in those days were not generally the same kind of people who were allowed to remove ceiling tiles and string cables through conduits.... The personal computer revolution was taking place in organizations from the bottom up.... It was time for Ethernet to be re- invented for bottom-up proliferation among the personal computer work group revolutionaries.”

Using “silicon compiler” design tools to radically reduce the time to market, Seeq Technology created an Ethernet chip for PCs in time for a single-board version of the interface unit. Putting the transceiver on the adapter board eliminated a special transceiver cable and drastically simplified the system. There is no bulky connection between the coding device preparing information for the network and the transceiver sending or receiving the signals on the net. All this processing is done in the computer, on one printed circuit board, now reduced to the size of a credit card. While its rival from IBM—Token Ring—requires a mostly proprietary array of token-passing managers, clocking assignments and other complexities, Ethernet is an open system. Relative to the alternatives, it offers the possibility of something near plug-and-play. So advantaged, Ethernet has overcome IBM’s Token Ring, 20 million nodes to 8 million in installed base.

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