DS3 Price Trends
Like most telecommunications services in Benton, 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 attract customers and keep them from going to competitors. Service providers are anxious to keep margins but even more desperate to add customers. This competitive situation has created a buyers market for DS3 lines and pricing is as favorable as it has ever been!
The weak 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 out of business and no longer need service. This means there's a smaller pie to be had and there are plenty of telecom providers trying to get their share. Once again, the buyer is in control 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 reality 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 inhibit 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 issue for another article. Until then, enjoy those affordable DS3 lines and good luck finding a price that's right for you!
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Going forward, our wish is to constantly enhance our product offerings. We now deliver enterprise items normally used by larger corporations, specifically: MPLS network service, gigabit ethernet, OC3, and cloud computing bandwidth delivered over a fiber optic backbone. Many of our suppliers also deliver cost-free managed Cisco routers for multi-year agreements. Mainly, our objective is to build a bond with you - our client - that will certainly last for years to come. Acquiring your trust is just what we do all the time. Saving you money on low-cost bandwidth services is precisely how we keep it.