[SatNews] Data from TeleGeography’s Wholesale Bandwidth Pricing Database reveal that capacity costs five times more on key trans-Pacific and intra-Asian routes than across the Atlantic. Lease prices for a 10 Gbps wavelength ranged from $9,000 to $20,000 per month between New York and London; the same product cost between $65,000 and $80,000 per month between Tokyo and Los Angeles.


However, a recent wave of network construction and upgrades in Asia and Pacific has brought renewed pricing pressure to those markets. 10 Gbps wavelength prices between Los Angeles and Tokyo have fallen at a compounded annual rate of 21 percent over the past two years, and prices from Singapore to Tokyo have plummeted by nearly 50 percent in the past year. Conversely, prices for 10 Gbps wavelengths between New York and London have fallen at a compounded annual rate of only 3 percent — unusually stable, by the standards of the bandwidth market.

While the bandwidth market is becoming global, circuit prices continue to be driven by local and regional market conditions. TeleGeography’s Wholesale Bandwidth Pricing Database has been a vital resource for bandwidth buyers, sellers, and investors since 2002. The database provides more than 150,000 anonymous carrier price quotes on more than 160 critical routes for bandwidth products ranging from E-1 to Gigabit Ethernet and 10 Gbps wavelengths.