DS3 Price Trends
Like most telecommunications services in Tombstone, DS3 prices (commonly known as a T3 line) have been declining for the last few years. This is due to several 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 anxious to keep margins but even more anxious to add customers. This competitive arena has created a buyers market for DS3 lines and pricing is as favorable as it has ever been!
The soft 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 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 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.
A final 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 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 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 searching for 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 business items typically used by bigger corporations, specifically: OC3, MPLS network service, fiber ethernet, and cloud computing bandwidth delivered over a fiber optic backbone. Many of our service providers also provide complimentary managed Cisco routers for multi-year contracts. Mainly, our goal is to develop a bond with you - our client - that will last for years to come. Acquiring your trust is exactly what we do all the time. Saving you cash on inexpensive Ethernet services is how we keep it.