DS3 Price Trends
Like most telecommunications services in Pennington, DS3 prices (commonly known as a T3 line) have been falling 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 catch the attention of 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 favorable 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 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 gets 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 declined. 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 heavy applications the price of bandwidth will continue to decline. 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 finding a price that's right for you!
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As we go forward, our objective is to constantly improve our product offerings. We now supply enterprise items usually used by larger corporations, specifically: MPLS network service, gigabit ethernet, OC3, and cloud computing bandwidth delivered over a fiber optic backbone. Many of our carriers even offer complimentary managed Cisco routers for multi-year contracts. Mainly, our goal is to develop a bond with you - our client - that will certainly last for years to come. Earning your trust is just what we do all the time. Conserving you cash on economical MPLS services is exactly how we keep it.