Should I rent a wireless router, modem, or gateway… or buy it myself?
Networking equipment can be confusing but it all serves the same purpose which is to deliver consistent, fast internet connections. The equipment you get from your internet provider will typically dictate what level of experience you have vis-a-vis the internet. Why?
Because the hardware though it does come with managed service, has a direct influence on things like connectivity and speed. If you have a modem and router from your provider that is out of date or not compatible with the latest Wi-Fi Technologies, you simply won’t be able to capitalize on the fastest speeds possible or similar technological benefits.
So what equipment do you need to set up home wifi? You’ll need a modem and a router, or a single gateway device or “combo” that has both. If you have a system of devices that connect to one another, then the router handles their communication. This system is called your home network. The modem is responsible for facilitating communication between your home network and the internet. The modem usually connects the router through the WAN or Wide Area Network port.
Modems are typically small, skinny boxes usually black in color. You might have an external antenna on yours. Modems have between 2 and 4 ethernet ports. Routers can be similar in size but come in different colors.
You can also get modems that have integrated routers, referred to as combo devices or gateway devices. This is usually what you rent from your internet provider. If you plan to purchase equipment on your own, it’s best to invest in separate devices because routers enjoy new Wi-Fi technology much more regularly than modems so you could have a modem for years and never replace it until it breaks down and yet replace your router whatever your Wi-Fi needs change. With a combination device, if a single component breaks, you have to replace the entire thing and none of it will work.
When you sign up for your service, every internet provider sends you the router and modem they have. When you take your service to a new company and open a new account, part of your internet plan includes a monthly equipment fee for the modem and router supplied by the company. This fee might seem nominal when you look at your bill, but, even a fee as little as $10 per month adds up when you consider the fact that you were paying it every single month that you have that service which for many people is years or decades. The cost of the modem and router on their own might only be $70 or $100 which means that if you were to buy it yourself, you could save yourself hundreds of dollars over the span of several years.
Monthly fees range between $6 per month and $20 per month depending on the provider.
Usually it’s not a good deal financially if you are planning to be with the company for a long time although it can be a good deal when it comes down to troubleshooting tech issues or having a warranty. If you are comfortable using your current provider for at least 2 years, it makes financial sense to invest in your own modem. A simple cost analysis shows that you will recoup your investment within one or two years depending on which internet package you have and your equipment. This means that any additional time beyond that two-year mark saves you the monthly rental fee.
Your other options are to simply buy your own equipment. This is very simple and can cost less than the router and modem or Gateway provided by your internet provider. You can purchase gateways with built-in routers like the Arris SURFboard or Netgear for $70 and $110 respectively which are compatible with companies like Charter Spectrum, Cox, and Comcast Xfinity. The difference in price is dictated by the difference in download speed which may or may not matter depending on the speed available based on your internet plan and provider.
Before you decide to buy your equipment, you need to consider whether you will be using the same internet provider for a lengthy amount of time. If you know that your living situation is temporary, maybe you moved for work or you have an upcoming move, then it’s could be better to rent the modem from your provider. However, if you plan on staying for a long time (or know your equipment will work with other providers) it might be worth it to invest time and effort into finding a compatible modem and buying something new.
Then you have to consider how tech savvy you are and what level of comfort you have fixing your own issues. You might have to spend some time familiarizing yourself with potential issues that routers and modems have, especially the brand you are considering, and what troubleshooting you might have to do.
Similarly, while it is often financially viable for you to purchase your own equipment if you plan to be in one area for a long time, keep in mind your warranty protections. Assuming you’re using rented equipment, if something is covered under warranty and it breaks, you can send it back and get a replacement. If you are using your own equipment, and something breaks, you may have to fork out the money to buy a replacement.
You need to make sure firstly that the modem you buy is compatible with your internet provider. Some internet providers are more forthcoming about compatibility. Viasat for example is very open about customers using modern modems while companies like AT&T force you to use their modem regardless but they give you the option of bringing your own router while still charging you the full rental fee.
Depending on the company, you might have trouble finding compatibility answers with customer service because they are under no obligation to help you compare device specifications to see if what you want to purchase will work on their Network.
You can read different reviews, check out side by side comparisons for products, and other informative sites to learn more. While many modems and routers might be similar in price or structure, getting the top-of-the-line products might not be a viable investment for you if you still have limited internet speed in your area or if the modems are incompatible with your provider. It is up to you to do some research in this area and to try your best to work with your company to see if they can give you more answers on whether the exact product you want is compatible.
If you have decided to buy your own modem and now you are trying to return equipment to the company, you might run into problems. If you’re having issues with your equipment return, and getting charged bogus fees, we can help.
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