DS3 Price Trends
Like most telecommunications services in Detroit, DS3 prices (commonly known as a T3 line) have been falling for the last few years. This is due to numerous 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 anxious to add customers. This competitive situation has created a buyers market for DS3 lines and pricing is as low as it has ever been!
The soft economy and decline 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 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 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 declined. 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 factor 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 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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As we go forward, our goal is to continually improve our product offerings. We now provide business items normally utilized 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 offer free managed Cisco routers for multi-year contracts. Mainly, our objective is to build a bond with you - our customer - that will last for years to come. Earning your trust is exactly what we do here. Saving you money on inexpensive bandwidth services is just how we keep it.