DS3 Price Trends
Like nearly all telecommunications services in Melrose Park, DS3 prices (commonly known as a T3 line) have been declining for the last not so many 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 attract customers and keep them from going to competitors. Service providers are desperate to keep margins but even more desperate to keep customers. This competitive arena has created a buyers market for DS3 lines and pricing is as low as it has ever been!
The weak economy and crash of the stock market has also played a part in the fall in DS3 prices. Since the peak of the market in 1999 many companies have gone out of business 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.
The last reason for the decline in DS3 pricing is the fact that equipment costs and the cost of supplying the bandwidth have decreased. This means that companies can supply the bandwidth at a lower cost. As bandwidth usage continue to increase as a result of bandwidth hungry applications like video on demand and graphic heavy applications the price of bandwidth will continue to go down. The only thing that seems likely to slow prices from dropping 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 matter for another article. Until then, enjoy those inexpensive DS3 lines and good luck searching for a price that's right for you!
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Going forward, our wish is to regularly improve our product offerings. We now offer enterprise products usually employed by bigger firms, namely: MPLS network service, gigabit ethernet, OC3, and cloud computing bandwidth delivered over a fiber optic backbone. Several of our service providers even deliver free managed Cisco routers for multi-year contracts. Mainly, our goal is to develop a bond with you - our customer - that will definitely last for years to come. Acquiring your trust is exactly what we do all the time. Saving you money on inexpensive MPLS services is how we keep it.