DS3 Price Trends
Like the majority of telecommunications services in Bancroft, DS3 prices (commonly known as a T3 line) have been declining for the last few years. This is due to a number of factors. Competition has been heating up since deregulation in 1996. The number of carriers offering service has exploded. With more competition in the marketplace, service providers have to reduce their prices to catch the attention of customers and keep them from going to competitors. Service providers are anxious to keep margins but even more desperate to add customers. This competitive arena has created a buyers market for DS3 lines and pricing is as favorable as it has ever been!
The soft economy and crash of the stock market has also played a part in the drop in DS3 prices. Since the peak of the market in 1999 many companies have gone bankrupt and no longer require service. This means there's a smaller pie available and there are plenty of telecom providers trying to get their piece of it. Once again, the buyer is in charge and can shop until he or she finds the price that is right for them.
A final reason for the decline in DS3 pricing is the fact that equipment costs and the cost of supplying the bandwidth have dropped. This means that companies can supply the bandwidth at a lower cost. As bandwidth usage continue to go up as a result of bandwidth hungry applications like video on demand and graphic intensive applications the price of bandwidth will continue to go down. The only factor that seems likely to slow prices from falling much further is the "last mile" or the connection from the users premise to the service providers' POP (Point of Presence), but we'll save this issue for another article. Until then, enjoy those affordable DS3 lines and good luck searching for a price that's right for you!
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As we go forward, our goal is to regularly enhance our product offerings. We now provide business products typically employed by bigger corporations, particularly: fiber ethernet, MPLS network service, OC3, and cloud computing bandwidth delivered over a fiber optic backbone. Many of our carriers even supply free managed Cisco routers for multi-year contracts. Primarily, our goal is to build a bond with you - our client - that will definitely last for years to come. Obtaining your trust is just what we do here. Conserving you money on affordable broadband services is how we keep it.