Leased lines: Jo'burg to London is ten times as expensive as New York to London

[Circle ID] According to Data from TeleGeography's Wholesale Bandwidth Pricing Database, there are stark price differences around the globe for companies with large international bandwidth requirements. "For example, the median price of a 2 Mbps E-1 circuit between London and Johannesburg in Q4 2008 was nearly $15,000. For the same price, a bandwidth buyer could lease a 10 Gbps wavelength—500 times the capacity of an E-1—between London and New York."



Circuit prices vary for a number of reasons, including geography, service provider, circuit capacity and type, according to TeleGeography. "The most expensive routes are to countries that grant few international gateway licenses, or that are dominated by an incumbent service provider."

Bandwidth Buyers Face Significant Price Differences in the Global Market