April 18, 2012
8:33 AM EDT
by
Verizon’s newest low latency route built on Ciena gear
Verizon has this morning unveiled a new low latency service targeted at the financial services market connecting the major U.S. financial centers of New York and Chicago. The new service, which can complete a roundtrip from the two financial hubs in as little as 14.5 milliseconds, leverages Ciena’s 6500 Packet-Optical Platform to provide the ultra-low latency optical transmission between the two cities.
The new service is built upon the existing Verizon Financial Network, which already serves the needs of many of the world’s largest financial services companies. VFN is a separate and dedicated network built exclusively for the financial services market, including a dedicated engineering staff and the ability to provide SLAs for up to 99.7% availability. VFN currently serves financial customers located in the U.S. and EMEA, and will expand to serve Asia Pac customers in 2H12.
The new New York to Chicago route connects data centers in Chicago (DC3 and Cermak) to data centers in New York/New Jersey (Carteret, Halsey, Hudson, and Secaucus) and can provide roundtrip latencies as low as 14.5 ms with the use of 10G low-latency connections. That’s as much as a 5 millisecond improvement when compared to the company’s current offering according to Verizon’s Chandan Sharma in an interview with the Wall Street Journal. Verizon also announced the Chicago Mercantile Exchange as one of the first customers for the new route.

At the center of Ciena’s low latency solution is our WaveLogic coherent optical processor. While much of the focus for coherent technology has been on its ability to unlock the door to higher transport speeds of 100G, 400G and higher, the benefits of coherent technology also extend to lowering network latency.
That’s because Ciena’s coherent solution includes electronic dispersion compensation, a feature that eliminates the need for dispersion compensation modules (DCMs). These DCMs are basically coils of special fiber that “refocus” the optical signal to enable longer transmission. By accounting for dispersion compensation electronically in the coherent processor, Ciena can eliminate the DCM and the added latency that comes with the added fiber length.
In addition, Ciena’s latest WaveLogic 3 processor allows for soft forward error correction (Soft-FEC) that can be “fine tuned” to the requirements of the network link. In routes that require ultra-low latency, the soft-FEC algorithm can be “turned down” to squeeze out as much latency from the transmission as possible.
In the below video Ciena’s Mike Frankel talks more about the use of coherent optical technology to deliver low latency networking.
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