The analysis of prices for IP traffic exchange in Poland and in the world - UKE

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The analysis of prices for IP traffic exchange in Poland and in the world


2011-12-12

The comparison of prices for IP traffic exchange (transit and peering) that are binding in Poland to the prices that are in force worldwide is the subject of this study.

 

The analysis covered the period from 2009 to the first half of 2011.

The exchange of IP traffic is held by means of two basic techniques, such as transit and peering.

As a rule, transit provides access to the whole worldwide network resources and is payable. In contrast, peering provides access to directly interconnected networks and their transit clients. It may be payable and non-payable.

Thanks to these methods of traffic exchange, particular Internet Service Providers gain access to the network and their end users can use the Internet.

Summing up this analysis, it may be concluded that:

  • the decline of prices for 1 Mb/s of peering and transit services is characteristic both for the world and for Poland (the average IP transit prices in the world fell by 37,69% in case of port 1 GbE and by 51,39% in case of port 10GbE). 

Fees, charged by the operators of the global transit, for 1Mb/s of the band of the IP transit service underwent significant reductions (by 71%) in Poland (from 33,17 zł in 2009 to 9,51 zł in the first half of 2011).

The prices charged by the operators of the global IP transit operating on the Polish market are similar to the European prices.

According to the Telegeography data, the average prices of IP transit in Poland belong to the lowest in Europe and in the world.

In case of IP peering, the average prices paid by the Polish ISPs amount to 20,08 zł (2009) and 10,33 zł (first half  of 2011), so they are at a similar level compared to the worldwide average.

Refering to the rates applied by the largest ISP in Poland (Telekomunikacja Polska S.A), it should be indicated that:

  • Currently IP peering with the TPNET network costs 25 zł for 1 Mb/s, whereas IP transit by meanas of TPNET network costs 30 zł for 1 Mb/s.
  • The recent reduction of prices for access to TPNET occurred without any activities of UKE, which may suggest increased market competition.
  • The size of IP traffic exchange with the TPNET network in relation to the size of the whole IP traffic of examined Polish ISPs is at a low level (average in the first half of 2011 - 7,03%).


The analysis is available in Polish.

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