North American Network Operators Group Date Prev | Date Next | Date Index | Thread Index | Author Index | Historical RE: Current street prices for US Internet Transit
Thanks to all who replied with data, and yes, the pricing was all 95th percentile. Wow - the U.S. has an amazingly unhealthy and cut throat transit market in 2004. About 20 folks responded, most saying the Peering Coordinator quotes (below) sounded about right. A couple people said these prices were TOO HIGH, particularly for the gig commit, although several multi-gig commits came in tiered; for example, $45/Mbps for 1G commit, $35 for 2G, etc. on down to $21 for 8G commit. (One Tier 2 ISP said that they sold 1G commit as low as $18/Mbps, presumably simply reselling Tier 1 BW so the difference may be negligible.)> ISP Transit Commits and Prices --------------------------------------------------------------------------------------------------------------------- > if you commit to 1M per month you will pay about $125/Mbps > if you commit to 10M per month you will pay about $ 60/Mbps > if you commit to 100M per month you will pay about $45/Mbps > if you commit to 1000M per month you will pay about $30/Mbps Three said that these transit prices were TOO LOW, in one case they paid about double these numbers. It was interesting that these three were a content company, a cable company and a DSL company, folks who traditionally don't sell transit. Maybe they are in a retail market for transit, while everyone else buys in the wholesale market. Since so many said these prices are about right, I'll use them for the Peering versus Transit analysis. A couple people pointed to the 10M commit being closer to $80/Mbps, so that may be an adjustment. Given the adjustment, I thought you might be interested in how the U.S. transit prices compare against a handful of other Peering Ecosystems: The Cost of Internet Transit in� Commit AU SG JP HK USA 1 Mbps $720 $625 $490 $185 $125 10 Mbps $410 $350 $150 $100 $80 100 Mbps $325 $210 $110 $80 $45 1000 Mbps $305 $115 $50 $50 $30 Round numbers anyway FWIW. Hope this helps. I feel bad for those selling transit these days - at these prices, margins must be mighty thin, and I suspect we will see some more turbulence in the industry. Bill
|