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Internet Capacity Is Keeping Pace With Traffic Growth, Says Research Firm

According to new data from TeleGeography research group, international Internet traffic grew 53% between mid-2007 and mid-2008, down from 61% the preceding year. Traffic growth between the US and Latin America was especially fast, surging 112%. In contrast, traffic on internet backbones between major cities in the relatively more mature US market rose a modest 47%.

For the second consecutive year, according to the study, total international Internet capacity grew faster than total Internet traffic, leading to lower utilization levels on many internet backbones. Between 2007 and 2008, average traffic utilization levels decreased from 31% to 29%, while peak utilization fell from 44% to 43%. The aggregate trend toward lower utilization of capacity belies significant regional differences. While utilisation on international links to Europe and Asia fell in 2008, they rose in the US & Canada and Latin American where traffic growth outpaced the deployment of new internet bandwidth.

For an overview of the study, click here. Telegeography also provides an executive summary [PDF] for free.

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