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The CEO Views > Blog > Micro Blog > A Pricing Guide for Dedicated Internet Access (DIA) – What You Should Consider
Micro Blog

A Pricing Guide for Dedicated Internet Access (DIA) – What You Should Consider

CEO
Last updated: 2022/10/05 at 12:16 AM
CEO
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For those working remotely or who spend much of their time online, investing in Dedicated Internet Access (DIA) may help make your connection faster and more secure. Using a DIA pricing guide while searching for a DIA will help you get the best service for your money.

DIA vs Best Effort Internet

Most IP networks are Best Effort Internet network services, which offer every user on the network the use of the internet. Thus, IP numbers are the tracking number for each user. While the networks are common, they are often less secure, and users can experience internet delays.

It works by trying to send an uninterrupted message from one destination to the other. Similar to how a package is delivered, the Best Effort Internet aims to get information from one place to the next but does not insure the package.

Dedicated Internet Access means that a business would have their internet connection privately connected to their provider rather than having their internet connection tethered to other customers. Like premium shipping, not only is the information getting from one location to the next but it is ensured to get there through protective means.

Ways Internet Rates Are Priced

Internet pricing can monetize various factors of users’ internet usage based on DIA contract term length pricing impacts. One of the most straightforward ways is pricing by bandwidth usage. Bandwidth is the amount of data your network can transmit over some time.

Plans usually are on a fixed bandwidth, meaning that data transmission becomes slower once an amount is reached for a certain period. However, there are also burstable bandwidths, which charge a set price for a set amount of data usage but allow for a burst of data to be accessed for a higher amount.

Companies can also set pricing based on whether the data is delivered “on-net” or “off-net.” An aspect that can make a DIA pricier is whether there already is an address to send the information to or if they will need to build you a mailbox.

“On-net” internet connections are typically cheaper since the line is already created. If a provider already has a fiber less than 500 feet from a location, this is considered “on-net.” If an address needs to be created, this is typically relatively affordable.

“Off-net” internet connections are more expensive because connecting to a fiber miles away can add up quickly. “Off-net” fiber building also makes the off-net DIA price more expensive since not every house on the street has an independent fiber from a carrier.

As a guide, according to the DIA price per Mbps, purchasing a DIA circuit with any 500Mbps for less than $1,000/month is reasonable.

Aspects that Impact Internet Pricing Data

Given the internet pricing transparency needed, shopping around for different rates can help buyers get the coverage they need at the best price. Additionally, knowing the dedicated internet pricing data effects can help buyers get the best deals.

Data supports that the increase in data coverage increases the prices. The average price increase goes from $608/month for 100Mbps of DIA to $1,191/month for 1Gbps of DIA.

Whether or not the internet activity is tethered to a data center, which is the central base where data is processed, also affects the price. The average cost of a 1Gbps DIA connected to a data center costs around $673, whereas the average cost of a 1Gbps DIA not connected to a data center is $1,191.

Conclusion

With this telecom pricing data, you can make a more informed decision on which you should choose between DIA vs best effort internet and if dedicated internet access fits within your budget.

CEO August 8, 2022
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