A system for managing bandwidth use in a device. In a specific embodiment, the device is a network device that includes a first data scheduler that is adapted to initially share available device bandwidth among a first type of traffic and a second type of traffic on an as-needed basis. A traffic monitor communicates with the first scheduler and causes the first data scheduler to guarantee predetermined transmission characteristics for the second type of traffic. The first data scheduler includes one or more routines for prioritizing first type of traffic above the second type of traffic when the network device is in a first operational mode, and prioritizing the second type of traffic above the first type of traffic when the network device is in a second operation al mode. The minimum transmission characteristics include a minimum service rate and a minimum latency for the second type of traffic.