Network cost vs. value: What you’re really paying for
Network cost covers more than internet speed or the gear you pick. It’s also the time, effort, and support needed to keep your setup working day to day. That’s where total cost of ownership (TCO) comes in, and why the cheapest option isn’t always the best deal.
What is network cost?
Network cost covers what your business spends to build and run a network. That includes hardware, internet service, support, and maintenance.
Small businesses may only need a few access points and a router. Larger companies might pay for private circuits, firewalls, and multi-site setups.
Breakdown: Hardware, installation, bandwidth, support
Most costs start with physical equipment like routers, switches, access points, and firewalls. You’ll also pay for installation: that means cabling, labor, and device setup.
Internet pricing depends on the service. Shared broadband is cheaper, but less stable. Dedicated internet access (DIA) offers more reliable speeds and lower jitter.
Support adds to the total. Monitoring tools, help desk software, and technician time often sit outside the base quote. As networks grow, so do those costs.
Hidden costs: Fragmentation, outdated equipment, reactive troubleshooting
Using different vendors for internet, hardware, and support makes fixing problems harder. Each provider blames the others when something breaks.
Older gear creates more problems. Firmware updates slow down. Security patches fall behind. Support becomes harder to find. Troubleshooting eats time. If your IT team spends hours chasing issues, the real cost of the network is already too high.
Average network setup costs by business size
Network cost changes based on how large your business is and how much tech you need. Each growth stage adds more devices, complexity, and setup labor.
Small business network setup cost: Routers, cabling, installation, labor
Most small businesses spend between $2,000 and $10,000 to get started. That usually covers a basic router, one or two access points, CAT6 cabling, and labor for setup.
Redundancy is rare at this level. Most networks max out around 15 to 20 users.
Mid-size business setup cost: Managed switches, firewalls, Wi-Fi
Mid-size setups often include managed switches to support VLANs and better traffic control. Firewalls get added to meet compliance needs. Wi-Fi hardware improves, but coverage still depends on layout and wall material.
Costs land between $10,000 and $50,000. Businesses in this group also tend to need symmetrical internet, where upload speeds match downloads.
Enterprise setup cost: Multi-site, SD-WAN/MPLS, hybrid clouds
Enterprise networks often span multiple locations and include complex traffic routing, failover, and private connectivity. SD-WAN and MPLS are common here, depending on control and latency needs. Solutions like these help reduce routing costs by prioritizing key applications and managing bandwidth across sites.
Multi-site enterprise network expenses usually start around $50,000 for gear and installation. With cloud integrations, licenses, security tooling, and service contracts added in, the total can reach $375,000 or more.
That figure reflects a full network stack, from routers to monitoring software, and assumes a multi-site deployment with IT support overhead baked in.
Ongoing costs to expect (and how to plan for them)
Building the network is one line item. Keeping it running takes steady money and attention.
Maintenance & monitoring
Networks don’t manage themselves. Someone needs to update firmware, patch software, and replace old hardware.
Monitoring tools help catch issues early. But those tools charge per site, device, or user. Add in the time it takes your team to use them, and the bill grows.
A managed service can take care of this. Just make sure the monthly fee lines up with what you're getting.
Network access and service fees
Internet comes with a monthly price tag. Shared broadband is cheaper but often delivers asymmetrical internet with faster downloads than uploads. Business fiber or a leased line costs more and usually comes with a higher network access and maintenance fee.
Some providers also charge for things like static IPs, faster support, or higher traffic limits. Those extras can sneak into bills and should be reviewed each year.
Security and compliance tooling
Keeping a network safe means using tools like VPNs, firewalls, and antivirus. Most of these need yearly licenses.
Regulated industries need even more. Compliance rules like HIPAA or PCI require logs, alerts, and audit tools. That means more software, and often more people.
Those costs add up fast and should be part of your regular network budget.
Scalability & upgrade cycles
No gear lasts forever. Most routers, switches, and access points last five to seven years.
As your business grows, so does the demand on the network. Waiting too long to upgrade leads to downtime and slower speeds.
It’s cheaper to plan ahead than to fix a mess later.
CapEx vs. OpEx: What model makes sense for you?
Business networks are paid for in one of two ways. Network pricing usually follows either a CapEx (buy the gear yourself) or OpEx (monthly service fee) model.
Traditional CapEx: Buying, maintaining, and depreciating
CapEx means you buy everything up front, routers, switches, cabling, and firewalls. You also pay for setup and installation.
Once it’s running, the network is yours to maintain. Included is every future update, fix, and hardware replacement. CapEx gives more control over how things are set up. On the other hand, it also means more responsibility and more staff to manage it all.
OpEx: Subscription-based and fully managed
OpEx means you don’t own the gear. Instead, you pay a flat fee to a vendor that handles everything: hardware, installation, support, and monitoring.
This model works well when you want to avoid big upfront costs or don’t have a large IT team. Support requests go to your vendor. If the gear fails, it gets replaced without another capital purchase.
Cost comparison: CapEx vs. OpEx over 3 years
The chart below shows a rough estimate for a mid-size business network. These numbers are based on common industry pricing ranges but will vary depending on site count, network complexity, and support model.
The chart below shows a networking cost estimate for a mid-size business setup:
CapEx can be cheaper at first. Still, the ongoing effort and headcount needs often make OpEx a better fit as you grow.
When should you reassess your network spend?
You should reassess network costs when your setup no longer fits your size, tools, or performance needs.
Opening new offices
A new location usually needs more gear, internet access, and support. That’s the time to check pricing, contracts, and vendor reliability.
If the current setup can’t scale with you, switching providers may cost less in the long run.
Mergers or expanding your footprint
Bringing two companies together often creates overlap, duplicate equipment, services, and support. Reviewing network costs during a merger can free up budget and reduce complexity.
Too much time spent fixing problems
Rising support tickets, poor performance, and constant troubleshooting point to a deeper issue. When your team spends more time fixing than planning, it’s time to rework the setup.
Gear near end-of-life
Outdated hardware slows things down and increases downtime. Vendors stop issuing updates after a few years.
Plan to replace aging gear before it fails, not after.
Tips to control network costs without compromising performance
You can lower network costs without hurting speed, uptime, or user experience. However, you need a clear plan to do it right.
Use centralized tools for monitoring and support
Managing multiple locations with separate tools wastes time and money. A single platform should cover device status, bandwidth usage, and outages.
Look for tools that link to ticketing systems. That way, alerts turn into action without manual steps.
Try to keep it to one dashboard. Every extra tool means more training, slower response, and added license fees.
Combine internet, hardware, and support under one provider
Spreading internet, Wi-Fi, and hardware across multiple vendors drives up costs. Each provider charges separately for installation, support, and management. Bundling everything in one contract avoids finger-pointing during outages. It also simplifies billing and renewals.
Meter offers internet access, network gear, and full support in one agreement, with no markup or hidden fees.
Work with a managed service provider (MSP)
Hiring, training, and keeping in-house network staff gets expensive fast. An MSP gives you access to experts without full-time salaries.
A good MSP handles patching, upgrades, and compliance. They also monitor your network 24/7 and respond when things break. Some offer flat pricing that includes gear, licenses, and support. Ask what’s included and what’s not before signing.
Choose contracts that scale with you
Locking into a long contract often backfires. Your team grows, your needs shift, and you're stuck with pricing that no longer fits.
Ask vendors about pricing per square foot, not per device. It’s a model that gives you predictable costs as you grow. Look for options that allow you to scale up or down without penalty. Flat-rate pricing makes this easier to manage.
Standardize equipment and vendors
Using too many brands of routers, switches, and firewalls creates support headaches. Each model has its own quirks, firmware, and update cycle.
Pick a primary vendor and stick with it across locations. You’ll save time on troubleshooting and reduce the chance of compatibility issues.
That also makes staff onboarding easier, one playbook instead of five.
Set lifecycle timelines for gear
Waiting for hardware to fail before replacing it leads to rushed spending. Set a replacement schedule for routers, access points, and switches based on age and usage.
Four to six years is a good target for most devices. Track warranty end dates and plan replacements before downtime hits.
That way, you control when and how much you spend.
How Meter reduces the cost and complexity of enterprise networking
Meter was built to replace the mess of juggling separate vendors for hardware, internet, and support. We offer one system, one contract, and one team to call when you need help.
One provider for internet, hardware, and support
We manage internet access, routing, Wi-Fi, and ongoing support under one roof. Our process removes vendor confusion and reduces service delays.
Support is included, no markup, no hourly fees, no surprise invoices.
Flat pricing based on square footage
We charge by the size of your space, not the number of users or devices. That keeps billing simple and stable as your business grows.
You can rearrange your office or add more people without triggering extra fees.
Hardware included and fully managed
We install routers, switches, and access points. All gear is monitored 24/7. If something breaks, we replace it.
You don’t have to track warranties, call manufacturers, or manage firmware. We take care of all of it.
Built to scale across locations
Need to expand to another floor or open a new site? We treat it as part of your network, not a new project.
No extra install charges. No waiting to start over. You get the same service, everywhere.
Simplify network costs with Meter
Most businesses don’t realize how much time and money they lose managing disconnected systems. Network cost is everything tied to uptime, user experience, and support burden.
We built Meter to make networks easier to buy, deploy, and scale. Flat pricing, full visibility, and fewer moving parts.
Key features of Meter Network include:
- Vertically integrated: Meter-built access points, switches, security appliances, and power distribution units work together to create a cohesive, stress-free network management experience.
- Managed experience: Meter provides proactive user support and done-with-you network management to reduce the burden on in-house networking teams.
- Hassle-free installation: Simply provide an address and floor plan, and Meter’s team will plan, install, and maintain your network.
- Software: Use Meter’s purpose-built dashboard for deep visibility and granular control of your network, or create custom dashboards with a prompt using Meter Command.
- OpEx pricing: Instead of investing upfront in equipment, Meter charges a simple monthly subscription fee based on your square footage. When it’s time to upgrade your network, Meter provides complimentary new equipment and installation.
- Easy migration and expansion: As you grow, Meter will expand your network with new hardware or entirely relocate your network to a new location free of charge.
To learn more, schedule a demo with Meter.