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Australian Corporate Broadband Internet Service Pricing Study
Telsyte, Aug 2004, Pages: 26
Our Australian Corporate Broadband Internet Service Pricing Study has found that Asymmetric access technology (ADSL) is considerably less expensive than symmetric access technologies (such as SHDSL, Frame Relay, ATM, Ethernet, ISDN, Microwave) even for links with similar download speeds.
For example, the Industry Median price for a Metro area 2 Mbps ADSL access connection is $3,828 per annum, whereas the Industry Median price for a 2 Mbps Inner Metro symmetric access connection using technologies such as Frame Relay is $17,075 per annum. In other words, the Frame Relay based Internet connection is four (4) times as expensive as a similar ADSL based connection, although we note that the ADSL connection's uplink speed is only 256 Kbps (8 times slower than the symmetrical uplink).
When comparing symmetric versus asymmetric access prices, another point that should be understood is that in many cases symmetric technology access links are also used for data network connectivity, in addition to Internet access; e.g. a single access link is used for data applications and Internet access. While there are also technical differences in the data throughput achieved with access technologies such as Frame Relay or ATM as compared to ADSL, there are compelling cost reasons to consider DSL-based Internet access links.
Indeed, from a cost perspective, we recommend that any organization that does not require the characteristics of symmetric access technologies should consider moving to asymmetric Internet access.
Our Corporate Broadband Internet report examines a wide range of Australian Corporate Broadband Internet service prices. Prices in the report are current as of August 2004, and are sourced from our Broadband Internet Pricing database - a living information repository of pricing information, which is updated with customer and market-based pricing information on a regular basis.
The report analyses Access (Symmetric and Asymmetric for several access zones) and Data Usage Charges for monthly download allowances from 5 GB to 500 GB.
In order to maintain the confidentiality of customer information, benchmark findings are expressed as:
- Industry Low;
- Industry Low Quartile (25%);
- Industry Median;
- Industry Average (arithmetic Mean of the sample values);
- Industry Trim Mean (excluding the top / bottom 10% of industry samples); and
- Industry High prices.
This comprehensive report makes it very easy for anybody to quickly see the range of Corporate Internet Access and Usage pricing available in the market, and to determine whether they are paying too much. It can also be used by organizations looking to build a business case for migrating their Internet access to DSL technologies.
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