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Telecommunications Internet traffic growth outpacing price declines
Telecommunications Internet traffic growth outpacing price declines | Internet traffic growth outpacing price declines |
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| by Stuart Corner | |
| Monday, 18 September 2006 | |
  
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"At the moment, nearly all markets have growth rates that more than compensate for the steady decline in wholesale prices, providing opportunities for carriers to increase return on investment," says Eric Schoonover, senior research analyst with TeleGeography. "This is particularly true in high growth markets, including Latin America and Asia. For example; in Buenos Aires, the average price for STM-1 access to Internet networks (known as IP Transit) fell only 11 percent to $US187 per Mbps in 2006; at the same time, average Internet traffic from Buenos Aires increased by 119 percent. However, TeleGeography says the good times may not last: "Residential broadband markets, one of the chief drivers of Internet traffic, are already becoming saturated."{moscomment} |
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