Power over Ethernet Benefits

For network designers and administrators, PoE simplifies the task of powering devices in remote locations.  In one key example, PoE changes the entire cost structure for deployment of VOIP phones in an enterprise, where phones need to be placed in locations without dependency on AC outlets. 

The primary benefits include:

Cost savings -  PoE significantly reduces the need for electricians to install conduit, electrical wiring, and outlets throughout the enterprise.   With PoE only one cable – a simple CAT-5 Ethernet – is required.  Estimates of cost savings using PoE range from $500  to $1,000 per port.   In larger settings, this represents a major cost reduction.

Flexibility -  A PoE appliance or device can be located anywhere without the need for AC outlets.  For example, wireless LAN access points can be located – and relocated –  on or near ceilings, to fine tune optimum RF reception.  For example, customers often find that access points are more effective on the ceiling, out of reach from an AC outlet.

Reliability -  Because PoE networks have fewer wires, there is less likelihood of an inadvertent power disruption (accidental shut off, etc). With an Uninterrupted Power Supply (UPS) power to the devices is assured during a power failure.

Network Control -  Using SNMP, network administrators can monitor and control powered devices, including resetting or shut-off.   This allows increased security, as devices can be powered down when not in use, or if there is unauthorized access.

Safety -  Power mains are eliminated.  Since only 48v DC is used, PoE conforms to Underwriter's Laboratories (UL) Safety Extra Low Voltage (SELV) classification.

These benefits provide significant bottom line business impact.  As a result, a Gartner Group study credited PoE with driving growth in the Ethernet switch business, justifying its $40- $65 (U.S.) per port premium.