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Internet Service Provider (ISP)

What is an Internet Service Provider (ISP)?

According to research firm Statista, as of January 2021, about 4.6 billion people, or nearly 60% of the global population, is connected to the Internet.  The Internet that we enjoy across multiple devices is brought to us by Internet service providers (ISPs).

In this article, we’ll take a look at ISPs, how they developed and currently operate, and how they continue to evolve to meet the needs of a progressively digital society.

What are the objectives of ISP?

ISPs offer Internet connections also known as data, both for public and private entities.  This means building and maintaining the different infrastructures needed to sustain connectivity, such as land and sea cables, cell sites, and even satellites. 


ISPs offer additional services such as browsers and other software packages using APIs or application programming interfaces, email accounts, and even customized homepages or websites.  In addition, with the popularity of mobile data connection, most ISPs also provide video and game subscriptions, unlimited texts and calls, and even data and cloud storage. Depending on customer budget and data needs, these services are included in tier packages. 


Many network systems comprise ISPs. For example, a local Tier 3 ISP would pay to use the infrastructure of a larger Tier 2 ISP to offer better connectivity to its clients.  The Tier 2 ISP then pays for the services of a Tier 1 ISP, which often has a monopoly over its specific region.

What are the three leading technologies that contributed to the rise of ISPs?


  • Dial-up

 a technology that was readily available in the 1980s, mostly in large research universities for information exchange.  This uses the public switched telephone network (PSTN) facilities to connect to ISPs through a traditional telephone line.  A modem translates audio signals into data that personal computers can read.  Because they relied heavily on phone line availability, commercial dial-up connections were often slow and limited.


  • Broadband

The introduction of Ethernet cable technology was a game-changer. Using microchips and circuit boards, local area networks (LANs) can connect different computers over long distances.  An example of a broadband connection is a digital subscriber line (DSL), which uses the existing telephone line copper wires in residential and commercial spaces.  Next, the technology progressed to cable modems, which utilize the same infrastructure that allows cable companies to project television channels.  Then fiber optic broadband was introduced, which allowed for incredible speeds by converting electrical signals to data.


  • Wireless

Currently, countries are scrambling to roll out 5G technology to improve mobile Internet connectivity, replacing the 4G LTE networks.  In addition, infrastructures are updated to faster spectrum lines such as millimeter-wave and C-band, which boosts speed and lowers latency, making way for a more stable Internet of Things (IoT).  This is especially beneficial for connected gadgets, such as electric vehicles, virtual assistants, smart appliances, and biometrics.

Why do we need ISPs

Our world is increasingly interconnected and digital, demanding an online ecosystem that can keep up with higher data usage and faster connectivity.  Furthermore, services such as cloud gaming, video and music streaming, and mobile workspaces demand Internet infrastructures that are robust, resilient, and, more importantly, secure.

Almost all business transactions are moving to the cloud and require online features that are self-serve and streamlined.  According to a research paper by Informa Tech, 22.3 million jobs and a $13.2 trillion global market value could depend on the successful implementation of 5G by 2035.  Without ISPs adapting to dynamic market trends and disruptions, it would be challenging to sustain a digital economy.  ISPs would also need to adapt user-friendly tools such as an intuitive API to help them manage their services better.

How to avail of an ISP service?

First, a company needs to determine its budget and the features its business needs.  Next is to research the available ISPs in their area.  Customer reviews are an excellent way to filter the best providers possible.  Then, compare and contrast the pricing, speed, and service packages.  Finally, evaluate which add-ons are unnecessary and can be optimized for different use cases.

Don’t forget to check promotions and discounts, especially for new customers.  Often, ISPs have a rolling promotional campaign during certain seasons.  Also, be mindful of service agreements to know the early termination fees. 

What is the enterprise usage of ISPs?

Any company that wants to expand its client reach needs to be online.  In addition, major corporations and firms often rely on ISPs for a variety of reasons: 


  1. Of course, operational. Without Internet connectivity, it would be impossible to exchange information and even send basic e-mails. 
  2. Resilience planning, with more businesses moving to the cloud to streamline their processes and have a centralized, updated repository of information. 
  3. There is data analytics, where big data is harvested to study customer patterns and behavior, such as how many times they go online, which sites they visit the most, and which products they end up buying.


Nowadays, there are thousands of ISPs worldwide providing sophisticated and customized services. They continue to be the backbone not just of digital transactions and e-commerce but of an increasingly connected society.

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