The Hidden Cost of Cheap Network Switches

An unmanaged switch is a perfectly reasonable choice in the right environment. The mistake is assuming it’s a reasonable choice in every environment.

I once spent nearly two hours troubleshooting what everyone was convinced was an Internet problem.

Users were getting disconnected from a line-of-business application several times a day. File transfers stalled. VoIP calls occasionally dropped for a second or two.

The Internet connection was fine. The firewall was fine. The servers were fine.

The problem turned out to be an inexpensive unmanaged switch sitting under someone’s desk. It had no management interface, no logs, no interface counters, and no way to tell me what was happening. The only way to confirm it was the culprit was to replace it.

That experience wasn’t unusual. I’ve inherited plenty of networks where the cheapest switch available seemed like a smart way to save money. Sometimes it was. More often, it simply delayed the cost until troubleshooting became necessary.

“Works” is a low bar

People often ask whether managed switches are worth the extra money. My answer is usually another question: what do you expect the network to look like three years from now?

If all you need is five Ethernet ports on a workbench, an unmanaged switch is perfectly reasonable. It does one job, requires no configuration, and will probably run for years without anyone thinking about it.

The mistake is assuming that because it works today, it’s suitable for every environment. Business networks rarely stay the same for very long.

Visibility is worth paying for

One of the first things I look at when troubleshooting a network issue is the switch itself. Are interfaces reporting errors? Is a port constantly flapping? Are packets being dropped? Has a device negotiated the wrong speed or duplex?

With a managed switch, those answers usually take a minute or two to find. With an unmanaged switch, you’re guessing.

That lack of visibility often turns simple problems into long investigations because you’ve removed one of your most useful diagnostic tools. The hardware may be functioning perfectly. You just have no way of proving it.

VLANs are easier to add than replace

I’ve seen plenty of small businesses start with a single flat network. Eventually they add security cameras, then guest Wi-Fi, then VoIP phones, maybe a few IoT devices. Now they want to separate those systems for security or performance reasons.

If the existing switches don’t support VLANs, the conversation changes from “Let’s reconfigure the network” to “Let’s replace the network.” That’s a much more expensive project.

Even if you don’t plan to use VLANs immediately, having the option available is valuable. Networks have a habit of growing in ways nobody anticipated.

PoE isn’t just about the total wattage

Power over Ethernet has become so common that it’s easy to overlook one important detail: the advertised PoE budget actually matters.

A switch may have twenty-four PoE ports, but not enough power to run twenty-four access points, cameras, or phones simultaneously. I’ve seen installations where everything worked perfectly until another camera was added. Suddenly devices started cycling on and off because the switch had quietly reached its power limit.

Buying the right switch isn’t just about counting ports. It’s about understanding what those ports are expected to provide.

Small hardware limitations become big network problems

Manufacturers rarely advertise packet buffers. Most buyers never think about them—until they need them.

Under normal office workloads, almost any switch will forward traffic without complaint. Introduce high-bandwidth backups, video surveillance, or bursty traffic patterns, and smaller buffers can become noticeable. Packets get dropped, applications slow down, and users report intermittent problems that are difficult to reproduce.

This doesn’t mean every network needs enterprise-grade switching. It does mean that hardware choices have consequences beyond simply connecting cables.

Firmware matters too

Networking equipment is still software. Bugs get fixed. Security vulnerabilities are discovered. Features improve.

Managed switches generally receive firmware updates throughout their supported life. Many inexpensive unmanaged switches don’t. If an issue appears, there may be nothing to update, nothing to configure, and no vendor guidance beyond replacing the hardware.

That’s perfectly acceptable for some environments. It’s less appealing when the switch supports the core of your business.

Security isn’t only a firewall’s job

People often think about firewalls when discussing network security. Switches play an important role as well.

Managed hardware gives you options: disable unused ports, separate departments with VLANs, restrict where certain devices can connect, monitor unusual activity. Those features don’t automatically make a network secure, but they provide tools that simply don’t exist on unmanaged hardware.

Cheap switches absolutely have a place

This isn’t an argument against unmanaged switches. I own them. I use them. A small switch behind a television. A temporary connection on a workbench. A handful of devices that don’t need VLANs, PoE, or management. Those are perfectly sensible uses.

The problem starts when that same hardware becomes the distribution point for an office, a rack full of servers, or multiple wireless access points simply because it was the least expensive option on the shelf. At that point, you’ve stopped saving money. You’ve started borrowing trouble from your future self.

Buy for the network you’re building

Networking hardware usually stays in service much longer than anyone expects. The switch you buy today may still be sitting in the rack seven or eight years from now.

Think about where the network is likely to be by then, not just where it is today. If a simple unmanaged switch genuinely meets those future needs, buy it with confidence. If you already suspect you’ll eventually want VLANs, diagnostics, PoE, or better visibility, spend a little more while you’re still planning instead of a lot more when you’re troubleshooting.


Questions or corrections? info@mb-networks.ca