We live in a world of numbers, and you need to consider some numbers when getting an internet connection or setting up a network. In particular, you should consider the numbers corresponding to network bandwidth and throughput. While some may use these terms interchangeably, network bandwidth and throughput are different. Knowing these differences is crucial when it comes to fulfilling your network requirements. Here’s a quick guide to help you do it.
Network Throughput Overview
Network Throughput refers to the amount of data that is transferred from one network location to another within a stipulated period. This timeframe is set to one second in most cases, and the amount of data would be measured using Mbps, Gbps, MBps, or GBps.

Because internet-enabled services require dynamic transfer of data, network throughput is considered a measure of performance. If a network has a low throughput, it will likely have a relatively lower performance than a network with a high throughput.
When you measure the speed of your internet connection, you actually measure the network throughput. It could be different from network bandwidth, which we shall talk about in a bit.
Factors Affecting Network Throughput
Networks do not have a static throughput since they are affected by multiple factors. For instance, network throughput is not the same for all protocols. So, when you shift between protocols, throughput would also change.
In addition, factors like network congestion and packet loss may also affect the overall network throughput. You can think of your internet connection as a highway. If there is a traffic jam on the way, your device can’t get to the destination as fast as it could, right?
In the same way, multiple factors in the network may affect the ultimate network throughput.
Network Bandwidth Overview
Network bandwidth refers to the maximum data transfer capacity of the network. However, this is measured at its theoretical limit, meaning that you cannot expect the same bandwidth to reflect in browsing speed. It must be noted that network bandwidth is also measured using Mbps, Gbps, MBps, and GBps.

If you think of your network connection as a highway, bandwidth would be the number of lanes in a highway. So, theoretically, more vehicles would go through if there were more lanes. Yet, incidents like traffic jams may affect how many vehicles can actually go through during a stipulated period.
Essentially, though, you need a connection with higher bandwidth if you want to use multiple devices at the same time. Just like a single-lane highway would slow down traffic and cause congestion, a lower-bandwidth connection could also cause network congestion and deteriorate speeds.
Factors Affecting Network Bandwidth
Network bandwidth is not affected by any factors, as it is allocated by the infrastructure/provider. They get to choose the desired bandwidth for the network, and this maximum capacity remains the same unless there are changes in the infrastructure/setup.
For instance, when your ISP says that your connection has a bandwidth of 100Mbps, it means the connection can handle up to 100Mb of data per single second. Yet, multiple devices may contribute to this figure, and the final browsing/download speed may differ from this theoretical maximum.
Difference Between Bandwidth and Throughput
Let’s now explore the core differences between bandwidth and throughput in a network.
Aspect | Bandwidth | Throughput |
---|---|---|
Definition | The maximum data transfer rate of a network | The actual rate of successful data transfer |
Measurement Unit | Bits per second (bps) | Bits per second (bps) |
Nature | Theoretical maximum capacity | Real-world performance, influenced by factors |
Impact Factors | Network hardware, technology (e.g., fiber optic) | Network congestion, latency, packet loss |
Typical Values | Can be higher, reflecting potential capacity | Usually lower, reflects actual usage conditions |
Example | 100 Mbps (e.g., broadband connection speed) | 85 Mbps (e.g., actual download speed) |
The most significant difference between network bandwidth and throughput deals with what they represent:
- Network bandwidth is the theoretical maximum capacity of data transfer within the network
- Network throughput measures the actual data transfer speed you get within the network
While the network bandwidth relies on hardware infrastructure and similar limits, network throughput could be affected by factors like latency and packet loss.
As a result, most networks will have a higher bandwidth but lower frequency. For instance, even if you get a broadband connection with 100Mbps bandwidth, the current speed (throughput) will be somewhere around 80Mbps or 75Mbps.
It also means some of the things you hear about networks are untrue. For instance,
- A high-bandwidth connection does not always mean a high-speed connection. Depending on multiple factors like network congestion, your location, and latency, the actual speed will be lower.
- It does not mean that you can ignore network bandwidth altogether. If you want better performance within a network consisting of multiple devices, you need a high-bandwidth connection.
Yet, both network bandwidth and throughput are measured in Mbps or Gbps. So, you should be aware of the distinctions when getting an internet connection.
Importance of Bandwidth vs Throughput
As I mentioned, you should understand the relative importance of network bandwidth and throughput in a few instances. The best example is when you are setting up a network for your home or office.
Since bandwidth is the maximum capacity of the network, you should pay attention to it while setting up a network. If your network is in its growing phase, it should have better capacity to accommodate new devices and protocols. Taking this precaution can help you future-proof network infrastructure and avoid oversight in network capacity at a later stage.
On the other hand, because throughput is the actual speed, you must understand what you use the network for the most. For instance, if you have multiple devices at home and want to stream 4K videos on all devices simultaneously, the network should have a higher throughput. If the network cannot provide the required upload/download speeds, a higher-bandwidth connection won’t help you here.
In network setup, you should also understand the role of local network performance. This is especially the case if you use network-attached storage for video editing and data transfer. In these instances, the network should have higher bandwidth. This bandwidth will determine how much data you can carry through. Additionally, adopting NaaS solutions can provide scalable bandwidth solutions tailored to your specific needs.
How Latency Affects Network Performance
Latency is another term you would come across while talking about internet speed and network setup.
Latency refers to the time that a network needs to send a data packet from one location and receive a reply to the request. When you browse the internet, latency refers to the delay between your network sending a request, which a server will receive, process, and send back, and your network receiving and processing the request.

Depending on the network infrastructure, many types of latency may exist. For instance, the processing delay within a network is called network latency, whereas the time taken by the server for request processing is called server latency. Web servers may also have propagation latency, which occurs when data is transferred from one location to another.
As you may understand, latency can impact network performance in multiple ways. This is mainly the case when multiple devices are involved in the process. As a result, when browsing the internet, latency will play an essential role in determining your internet experience. For instance, online gaming and video calls require instant data transfer. Thus, a lower-latency connection will be difficult to work with.
Therefore, if you use the network for tasks like stock trading or online gaming, you should also ensure a low-latency connection as much as you focus on network bandwidth and throughput. I have had instances when a network offers excellent download speeds but has terrible latency.
Tools for Monitoring Network Bandwidth
Wondering how you can measure and monitor the network bandwidth? There are some tools you can use from your device or network management devices. I’ll mention some.
First, we have tools like SolarWinds, which help you analyze the overall network performance. They would help you understand the network bandwidth and how multiple devices on the network utilize bandwidth. SolarWinds is commonly used in enterprise scenarios that require continuous reporting.

But, if you need something for home-based networks, you can check out Cacti, an open-source performance analytics tool that you can use across small and big networks. The features may be overkill for some, but you will have plenty of data to optimize your network for bandwidth and throughput.
You can also find minimal footprint options to analyze your network. But ensure that the tools you choose can work with your network infrastructure.
How to Optimize Network Bandwidth
If you have to live with a low-bandwidth network, you can do a few things to optimize network bandwidth and improve the network situation altogether. For instance,
- You can use Quality of Service (QoS) features to prioritize which applications/devices get to use the most bandwidth. For instance, by putting video-calling apps and games in a privileged group, you get to control how much bandwidth these sensitive tasks can use.
- The same QoS features will come in handy for bandwidth throttling and network segmentation. For instance, by throttling the bandwidth of an app, you can ensure sufficient bandwidth for devices on the network. Similarly, creating multiple networks can help you efficiently allocate varying bandwidth.
- Bandwidth wastage is also a concern you may have. Solving this problem requires a multi-pronged approach. First, you need to ensure that you are using the latest hardware since outdated hardware can cause wastage. Similarly, you’d want to educate network users to prioritize apps.
These tips will ensure that devices in your network have access to sufficient bandwidth when they need it.
Frequently Asked Questions
You can calculate the network throughput via multiple methods, including speed testing tools. These tools shall provide an overview of the speed you can expect from the connection. However, the actual throughput will differ from these numbers.
100GB bandwidth means the network can handle the transfer of up to 100GB of data per second. You must understand that the number is a theoretical maximum capacity and not the actual speed. The actual speed will depend on multiple network-based factors.
For most homes, 100Mpbs to 300Mbps is a good bandwidth limit. It will be enough for multiple members of the family to connect and use their devices simultaneously. However, if you are building a network for an office with hundreds of devices, you need a multi-gig bandwidth network.
Conclusion
I’m sure this guide helped you understand the distinctions between network bandwidth and throughput. It does not mean one of these metrics is more important than the other.
On the other hand, you must understand when and where bandwidth and throughput matters more. More importantly, you should confuse bandwidth for the actual browsing/download speed.
So, the next time an ISP says that it offers a total bandwidth of 100Mbps, understand that you will not always have 100Mbps of speed.