Internet Service Provider (ISP)

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What is an Internet Service Provider (ISP)?

An Internet service provider (ISP) is a company that provides customers with Internet access. This includes telecommunications providers, cable companies, and mobile carriers, who bundle Internet access with other services like phone lines, cable TV, or email mailboxes.

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Modern ISPs provide consumers and businesses with access to the Internet via a range of methods, including dial-up, digital subscriber line (DSL), cable, wireless, fiber optic, or 5G connections. These services are typically subscription-based, but can also be purchased on a pay-as-you-go (PAYG) basis.

What is an Internet Service Provider

Key Takeaways

  • An Internet service provider (ISP) is a company that provides customers with Internet access.
  • ISPs offer connections via dial-up, DSL, cable, wireless, fiber optic, and 5G connections.
  • Customers typically pay a monthly subscription to access ISP services.
  • ISPs will implement measures such as throttling that can impact connection speeds.
  • Examples of ISPs include Verizon and XFinity.

How an Internet Service Provider Works

A customer or business signs up for a contract with an Internet service provider such as Verizon or XFinity. The ISP then sends the customer a modem and router and makes an appointment for an engineer to come and configure them.

Both the modem and the router play a vital role in setting up the user’s local network and enabling it to connect to the provider’s high-speed broadband service. Essentially, the modem sends and receives signals to and from the ISP, and the ISP enables local devices to connect to the network (it also has its own IP address).

Once the router is configured, the user can connect to the Internet by using a Wi-Fi-enabled device, searching for available Wi-Fi networks, and selecting the name of their service. They will need to enter a password to access the connection (this can be found on the back of the router).

Finalizing the connection enables the user to connect to a range of Internet-enabled services, including online gaming, streaming, or VoIP applications.

Types of Internet Service Providers

Types of Internet Service Providers

There are many different types of Internet service providers in the market.

Some of the most common types of Internet service providers include:

Access providers
These are ISPs that provide end-users with access to Internet connections via dial-up, cable, Wi-Fi, fine optics, and more.
Transit ISPs
ISPs that carry traffic from an ISP or customer’s network and connect it to the rest of the Internet as part of a transport service.
Hosting ISPs
These are ISPs that host services such as web hosting, mailboxes, cloud services, storage, and virtual servers.
Virtual ISPs
ISPs that purchase and resell services from other ISPs under their own brand.
Wireless ISP
ISPs that provide users with wireless access to the Internet at designated hotspots.
Mailbox providers
These are ISPs that host mailboxes on a domain so that users can send emails back and forth.
Free ISPs
ISPs that provide free access to the Internet in exchange for showing advertisements during the browsing experience.

Internet Service Providers Tiers

Internet service providers can be classified into 3 main tiers based on the type of services they provide.

These tiers are broken down briefly below:

Tier 1Tier 2Tier 3
An ISP that connects with and has access to the global Internet backbone under a settlement-free peering agreement and connects to the Internet with relationships to other tier 1 ISPs. The primary role of these ISPs is to sell bandwidth to Tier 2 and Tier 3 ISPs.
An ISP that uses tier 1 ISPs and other tier 2 ISPs to deliver traffic to customers via a tier 3 ISP connection.
AN ISP that sells IP access to end-users, such as customers and businesses.

    What Internet Services Do ISPs Provide?

    ISPs provide customers with a range of Internet services. These are listed briefly below:

    Internet access
    ISPs offer customers access to the Internet via dial-up, DSL, cable, and wireless connections.
    Modem/router rental
    Some ISPs may rent out equipment like routers and modems to customers so they can connect to the Internet.
    Tech support
    Most ISPs offer users with access to technical support in setting up and maintaining their Internet connections.
    Email access
    Some ISPs may also offer email accounts to users as part of their service.
    Unlimited data
    Top ISPs will offer users unlimited data plans so they can download and consume as much online content as they desire.

      ISP Examples

      Some of the most well-known examples of ISPs include:

      How to Choose an ISP

      When choosing an ISP, there are a number of factors you may want to consider. These include:

      • Speed: One of the biggest considerations when choosing an ISP is the Internet speed (upload and download speeds) the provider offers. Light browsing requires fewer Mbps than online gaming or streaming video content.
      • Bandwidth: Some providers may have data caps, so it’s important to be aware of these and consider the amount of data you’re likely to consume on a monthly basis. Failure to do so can result in unforeseen charges and throttling.
      • Price: The overall price of the service and whether or not you can or will pay the price will be another factor to consider.

      Internet Service Provider Pros and Cons

      There are a number of pros and cons to signing up for an Internet provider service:

      Pros
      • Guaranteed home Internet access
      • Affordability
      • Reliable performance
      Cons
      • Data Caps
      • Throttling
      • Vendor lock-in
      • Limited availability

      ISP and Security

      ISPs have a critical role to play in maintaining not just a user’s Internet service but also their cybersecurity. For example, service providers must monitor the Internet for malicious traffic and other unusual activities that could indicate a cyberattack.

      ISPs will deploy measures including real-time traffic monitoring, deploying firewalls to block malicious traffic, Distributed Denial-of-Service (DDoS) mitigation, website blacklisting, and data protection to minimize the exposure of users to hackers and other unauthorized entities.

      That being said, ISPs have to balance cybersecurity with user experience (UX) and privacy. Over restrictive website controls and false positive website blocks can negatively impact a user’s experience, while monitoring user activity too closely can be intrusive.

      The Bottom Line

      Now you know the definition of an Internet service provider, we could also refer to them as gatekeepers to the Internet. They provide end-users and businesses with all the key ingredients necessary to access content online. The standard of service provided is only improving over time as more providers roll out 5G connections.

      FAQs

      What is an Internet service provider in simple terms?

      What is an Internet service provider example?

      Is Wi-Fi an Internet service provider?

      What is the difference between a Wi-Fi provider and an Internet provider?

      What is the difference between an Internet service provider and a hosting provider?

      Can I connect to the Internet without an ISP?

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      Tim Keary
      Technology Specialist
      Tim Keary
      Technology Specialist

      Tim Keary is a freelance technology writer and reporter covering AI, cybersecurity, and enterprise technology. Before joining Techopedia full-time in 2023, his work appeared on VentureBeat, Forbes Advisor, and other notable technology platforms, where he covered the latest trends and innovations in technology.