Wholesale Internet Bandwidth Prices Continue to Decline Globally, Says New Study

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Wholesale Internet Bandwidth Prices Continue to Decline Globally, Says New Study

By CircleID Reporter
October 07, 2008, 4:32 pm PDT Views: 8,815 Add Comment

According to a report by research firm, TeleGeography, the price of wholesale internet access (IP transit) continues to decline but varies considerably around the world.

From today’s report: “Median monthly IP transit prices for 1,000Mbps Gigabit Ethernet (GigE) ports in major US and European cities ranged from USD10 to USD14 per Mbps in Q2 2008. IP transit prices in Asia remain far higher than in the US and Europe. Prices for GigE ports in major Asian cities in Q2 2008 ranged from USD30 per Mbps month in Seoul to USD45 per Mbps per month in Tokyo. IP transit service in Latin America is even more expensive, with median GigE port prices ranging from USD73 per month in Buenos Aires to USD86 per month in Santiago.”

“Disparities suggest that there is plenty of room for IP transit prices in Asia and Latin America to decline. However, because prices in both the US and Europe are declining at least as fast as prices in higher cost regions, wide price disparities will likely persist for years to come,” said TeleGeography analyst Erik Kreifeldt.

By CircleID Reporter — CircleID’s internal staff reporting on news tips and developing stories. Do you have information the professional Internet community should be aware of? Contact us.
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