The link between the network of an internet service provider and its clients is made by a private high performance circuit, leased line by a regular carrier.
It is hired out on yearly basis; it usually transfers data or voice, or both.
These internet leased lines are usually required for broadband internet access and are used securely between two customer premises.
An internet leased line is always dynamic, which is well-situated than a dial-up connection. In the similar way, unlike broadband, a leased line is not shared; it provides dedicated and definite bandwidth to the user.
Internet leased lines are rather used by companies that need superb quality internet service, which is accessible 24/7; so as to run crucial programs and applications for companies that need fast and upstream speeds and the remote workers who are accessing office based applications and programs.
With an internet leased line, you can fully utilize the Internet bandwidth all the time, and you do not have to split it with 20 or 50 other companies, as you may do with an ADSL.
They can even tie up with the user company to a CSS network and the internet as well, so as to generate more effectiveness in the working staff.
Companies that use such lines are mainly multi-national and need connection to the internet at all times. Having leased lines connection is also logical for them, because with leased lines they can stay linked to their other counterparts across the country. Accessing data from one office to the other is easier this way.
The trend is changing fast, as medium-sized businesses or growing businesses are also using such lines for internet and data transfer.
In a study done in 2016, only 3% of the small businesses (a business that has up to 50 employees) used leased lines. In the similar study, the statistics showed that 30% of the medium-sized businesses had leased lines. In current studies, the statistics are mostly the same.
The graph for the medium-sized companies, which use leased lines, has not changed mostly due to economic reasons. The companies that have had economic growth are the ones that renew the contracts for the leased lines. Others are seen to opt for cheaper options.
The multi-nationals or big companies that are experiencing good business use internet leased lines. It helps them in staying connected to the world, and it is easier for them to transfer data from one office to the other, or just to access it.
For such large companies, leased lines are a low cost and problem free way to stay connected to the world. All their employees are connected through one line; otherwise, having a dial-up connection would have been problematic. The connection from the internet would suffer if a call had to be made. A lot of phone lines would be needed to give connection to all the employees.
Basically, even though leased lines are costly, in the long run, they are low cost and easier to use for both medium-sized growing businesses and large scale companies.