A method and system for measuring a customer impacting failure rate in a communication network are disclosed. For example, the method collects a plurality of customer impacting network failure events, where the plurality of customer impacting network failure events comprises both hardware failure events and software failure events associated with a particular type of router or switch, or a particular type of component of the router or the switch. The method computes a Mean Time Between Outage (MTBO) metric from the plurality of customer impacting network failure events and compares the MTBO metric with a MTBO goal metric, wherein the MTBO goal metric is calculated in accordance with a predicted Mean Time Between Failure (MTBF) metric.