 | Persimmon Telecommunications finds the best T1, DS3 or other carrier service: the most appropriate carrier and their best plan for your requirements. Our team of T1, DS3, OCx, MPLS, Ethernet line service experts will help. Shortly after you submit your information and obtain price quotes, an Authorized Product Specialist will analyze your needs and assist you in evaluating Carriers and their plans so that you can make an informed decision. Because of our volume, providers give us their best prices, compete against one another for your business, and they pay us a commission. We include a Low Price Guarantee! |
| ||||||||||
“For at least 5 to 10 years, prices for broadband Internet access have been decreasing. Have we reached the bottom? It’s not clear. However, some carriers have been raising prices over the last month.” |
Has the Downward Trend in Broadband Pricing Reversed? For at least 5 to 10 years, prices for DSL, T1 and T3 Internet access have been generally decreasing. Have we reached the bottom? It’s not clear. However, some carriers have been raising prices over the last month. For example, both Verizon and Megapath indicated that they were restructuring broadband pricing. Some Megapath prices may have come down but many, especially in the DSL arena, have increased. This is true both for the MRC (Monthly Recurring Cost) ant the NRC (Non-Recurring Cost). In many cases, Megapath has eliminated the rebate that had been offered for the NRC on longer term contracts. Verizon’s price changes also were generally price increases. It’s been observed that some Verizon T1 customers will see an approximate doubling of their MRC when their contract expires. We still see lower pricing remaining for quite a few carriers but that these two large players see fit to raise prices does make one wonder if we have seen the price bottom for quite some time to come. Both Verizon and Megapath have recently purchased or merged with competitors, and thus they may feel that they have enough control of the market that they have little to lose by raising prices. This year there has been discussion in the industry that much lower broadband pricing would not be profitable for the carriers. In fact, one idea that’s been tossed around, and that we see in the marketplace to some extent, is that instead of lowering prices from current levels, carriers may include additional value in the price. For example, they might add storage space, IP addresses, and/or managed security features. Even if Verizon and Megapath do not maintain their current price increases, there is significant doubt that, in the near future, there will be much lowering of DSL, T1 and T3 prices from the lows that we have seen earlier this year. |
| © 2004-2007 Persimmon Telecommunications - All Rights Reserved |