DS3 Price Trends
Like nearly all telecommunications services in Savanna, DS3 prices (commonly known as a T3 line) have been declining for the last not so many years. This is due to several factors. Competition has been heating up since deregulation in 1996. The number of companies 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 desperate to keep margins but even more anxious to keep customers. This competitive situation has created a buyers market for DS3 lines and pricing is as favorable as it has ever been!
The soft economy and decline of the stock market has also contributed to the fall in DS3 prices. Since the peak of the market in 1999 many companies have gone bankrupt and no longer need service. This means there's a smaller pie available and there are plenty of telecom providers trying to get their share. 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 reduction in DS3 pricing is the reality that equipment costs and the cost of supplying the bandwidth have decreased. This means that carriers 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 thing that seems likely to inhibit 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 matter 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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Going forward, our objective is to regularly enhance our product offerings. We now offer enterprise products typically utilized by bigger firms, specifically: OC3, MPLS network service, fiber ethernet, and cloud computing bandwidth delivered over a fiber optic backbone. Several of our carriers even deliver complimentary managed Cisco routers for multi-year agreements. Primarily, our goal is to develop a bond with you - our client - that will last for years to come. Obtaining your trust is just what we do here. Saving you cash on low-cost MPLS services is exactly how we keep it.