Global Internet Backbone Growth Sluggish

Capacity on international Internet connections didn't grow as dramatically in 2002 as in previous years, according to a recent report from TeleGeography.

by ISP-Planet Staff [October 30, 2002]

The evolution of the global Internet took a new turn in 2002. Since the invention of the Web browser, international IP bandwidth deployment has more than doubled each year. But new data released by TeleGeography, Inc. reveals that the growth rate of international Internet bandwidth slowed to just under 40 percent in 2002.

But measuring Internet traffic is a contentious and problematical matter. In its report, titled Global Internet Geography 2003, Telegeography calculated the amount of bandwidth assigned by carriers to specific cross-border connections, then grouped the results by region. The firm did not attempt measure the volume of traffic over international Internet links nor did it count major exchanges that predominately transport domestic traffic within particular countries.

According to the Washington, D.C.-based research firm, maturing Internet markets in Europe contributed most directly to the global deceleration of international Internet capacity growth.

Europe, which accounts for 82 percent of the world's cross-border bandwidth, experienced an international capacity increase of only 35 percent, a steep decline from the 191 percent growth rate recorded in 2001.

However, the slowdown was not unique to Europe. Latin America's international Internet capacity grew only 65 percent in 2002 after skyrocketing 471 percent in 2001, while Asia's Internet bandwidth crept up 55 percent in 2002, compared to 122 percent in 2001 (below).

Alan Mauldin, TeleGeography senior research analyst, said new network deployments are at an all time low, but that this year's sluggish growth rates are ultimately a reflection of the global telecom economy.

"A generally conservative approach to the deployment of new capacity accounted for a significant portion of the global slowdown. However, much of the global deceleration came as a result of corporate financial distress, with bankruptcies leading to partial or complete network shutdowns," Mauldin said.

Mauldin added that KPNQwest, for example, shut down a European network accounting for 192 Gbps of international Internet capacity.

"Considering how much bandwidth was taken offline by companies like Energis, Carrier1, KPNQwest, and Teleglobe, it's amazing that international Internet capacity grew at all," he said.

TeleGeography has been publishing international telecom statistics and analysis since 1989. An independent subsidiary of Band-X, Ltd., TeleGeography publishes reports, databases, and maps used by communication companies, consultancies, and financial institutions in over 100 countries.

— End