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Sandra Brown IPv4 Market Group February 24, 2016 IPv4 Pricing and Transfer Update APNIC 41

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Page 1: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

Sandra Brown IPv4 Market Group February 24, 2016

IPv4 Pricing and Transfer Update APNIC 41

Page 2: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

IPv4 Life Cycle

•  Events –  ARIN Runout –  RIPE Inter-RIR Transfers –  /8s come to market –  IPv6 Adoption

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Page 3: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

Factors Affecting Pricing

•  Supplies are being bought up in ARIN region, following run out in July 2015

 -­‐        

 2,000,000    

 4,000,000    

 6,000,000    

 8,000,000    

 10,000,000    

 12,000,000    

 14,000,000    

 16,000,000    

 18,000,000    

2009   2010   2011   2012   2013   2014   2015  

IP  TRA

NSFER

S  #  OF  IP  TRANSFERS  PER  YEAR  IN  ARIN  REGION  

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Page 4: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

Factors Affecting Pricing •  RIPE Inter-RIR Transfers: Possible since

September 2015; Prices have equalized across regions

•  IPv6 Deployment: Will reduce demand for IPv4 in the long term; Applications still need to support IPv6

•  Use of CGN: Stretches use of IPv4 and reduces price pressure

•  Supply of IPv4: As more IPv4 comes to market, such as /8s, prices are pushed down

•  Demand for IPv4: Increased demand for cloud applications; population growth

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Page 5: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

Price Trends over Time

Inflection point in Sept 2015 – prices increased for /16 and larger blocks 5  

3.00  

4.00  

5.00  

6.00  

7.00  

8.00  

9.00  

10.00  

11.00  

12.00  

Price  Pe

r  IP  

IPv4  TransacDons  Over  Time  -­‐  /16  Blocks  

2011   Sept  2015  

Page 6: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

APNIC Transfer Activity

6  

0  

50  

100  

150  

200  

250  

300  

350  

/24   /23   /22   /21   /20   /19   /18   /17   /16   /15   /14   /13   /12  

#  OF  TR

ANSFER

S  

BLOCK  SIZE  

#  OF  TRANSFERS  PER  BLOCK  SIZE  

#  OF  TRANSFERS  

Page 7: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

APNIC Transfer Activity  

7  

 -­‐        

 1,000,000    

 2,000,000    

 3,000,000    

 4,000,000    

 5,000,000    

 6,000,000    

/24   /23   /22   /21   /20   /19   /18   /17   /16   /15   /14   /13   /12  

#  OF  IPS  TR

ANSFER

RED  

BLOCK  SIZE  

#  OF  IPS  TRANSFERRED  PER  BLOCK  SIZE  

#  OF  IPS  TRANSFERRED  

Page 8: IPv4 Pricing and Transfer Update APNIC 41...Transfer Update APNIC 41 . IPv4 Life Cycle • Events – ARIN Runout – RIPE Inter-RIR Transfers – /8s come to market – IPv6 Adoption

Predictions for the Future •  We are not at the top of the IPv4 Price

Curve: Prices will continue to rise somewhat

•  /8s will continue to come to market, keeping prices reasonable

•  The shortage of IPv4 addresses in APNIC region is being filled from ARIN region for now

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