Top 10 Asian IP transit NSPs - 2011Q3

Renesys
RankOrganizationCountryQ1 rankRank ChangePercentage
of leader
1NTT Communicationstier-11Unchanged100
2KDDI CorpJP2Unchanged48
3Tata Communicationstier-14147
4China TelecomCN
3
-147
5PCCW Globaltier-15Unchanged43
6Pacnet GlobalHK/SG6Unchanged36
7SoftbankJP7-124
8CNCGROUP China169 BackboneCN10120
9Tata CommunicationsIN9-118
10IIJNETJP8-317

Source: Renesys Corp

NTT continues its domination in the Asian region. KDDI, Tata and China Telecom are increasingly in a race for second place. During Q3 Tata made significant progress relative to both KDDI and China Telecom, successfully leveraging its worldwide backbone network and passed China Telecom in the ranking.

Like Tata and CNC Group, PCCW gained 3% in weighted routes relative to its competitors and within a couple of quarters looks poised to also challenge for second place.

Pacnet is holding well in the middle of the pack. The 8-10 rankings are tightening up. SoftBank lost a little ground while CNCGroup gained significantly and Tata India gained modestly. This is heating up as a race for the 8th ranking.

Once again the Asia in-region NSPs that have significant assets outside Asia to leverage have done the best. NTT, which is ranked 3rd globally, second if you count Level 3 and Global Crossing as a single entity, are clearly leveraging the pricing advantage of having a large percentage of its customers on-net.

Once Level 3 and Global Crossing are merged operationally, something Level 3 has traditionally done quickly, the combined entity should enjoy the world's best on-net operational advantage. Whether it manifests itself as further price wars or Level 3 returning to dot com type margins, only time will tell.

We saw 6.45% growth in the weighted routes in Q3, with the Indian subcontinent and in China being the main growth drivers.

This ranking has been created for Telecom Asia by Renesys Corp and is based network service providers with both a footprint in Asia and a large customer base in Asia. The idea is to target the players serving the needs of Asia-to-Asia business and excludes wholesale providers such as Level 3 which don't have a presence in Asia.

Renesys has been monitoring IP traffic for 10 years and looks 350,000 routes. The ranking is based on downstream traffic at the edge, middle and core of the network.

 

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