How Much does it cost to Buy an IP Address: Do People Need Them ?

So you’ve probably figured out that an IP address is much more than just a network number which you need to use the internet. For the majority of us, that number is just randomly allocated to us by whatever device we’re using to go online.

It probably has a long and varied history, it’s been probably used by thousands of people every year for all sorts of online activities. The address may be blocked, blacklisted or limited by it’s location depending on where it’s registered and by whom.

For many of us a single, shared IP number is simply not enough we need more. We need multiples to use each web service or to assign to a specific domain address. Many of us need an IP address in multiple countries to bypass the increasing number of geo-location blocks too.

For many of us though, having access to thousands of shared IP addresses across the world is enough.  For that all you need is  a simple VPN service which costs a few bucks a  month.

Try NordVPN for a low cost VPN service.

What is an IP address?

First lets define what an IP address actually is. An IP address is a numerical label assigned to each device connected to a computer network that uses the Internet Protocol for communication. It serves two primary functions; firstly, it identifies the device, and secondly, it facilitates the sending and receiving of data over the network. An IP address can either be static or dynamic. A static IP address is one that never changes and is unique to the device, whereas a dynamic IP address is ever changing.

When you buy an IP address block, you are essentially taking control of the information that is sent out, which boosts the security and protection of your online presence.

This is especially important for businesses and individuals who handle sensitive data.

Additionally, having a dedicated IP address allows you to access corporate remote access systems or private servers securely and can also be used to connect to smart home systems, CCTV cameras, video doorbells, and other devices.

What are the benefits of having a new IP address?

The benefits of having a new IP address include improved security, access to services that may be blocked with a shared IP, and avoidance of the “bad neighbor effect.” Dedicated IP addresses also provide convenience and reliability as they are not subject to CAPTCHA authentication and are not likely to end up in blacklists.

Additionally, having one’s own IP address block ensures that the user has exclusive control over the information that is sent out. Finally, having a dedicated IP address can be helpful when managing large networks, such as those in hosting, as it eliminates the need to share IP addresses with other users.

How much does it cost to buy an IP address?

The cost of buying an IP address or paying for a lease contract depends on the size of the subnet, the availability of the IP address, and the demand for it. According to recent analysis, the cost per single IP address has increased by 35% in the last five years, reaching up to $25-$35 per IP.

Furthermore, the cost of purchasing large blocks of IP addresses has increased by 25-30%, while the cost of buying smaller blocks, such as 1K to 10K IPv4 segments, has remained relatively stable. Moreover, the most significant buyers of IPv4 addresses have been hyperscalers, ISPs, and IP transit providers, which have transferred around 35 million IPv4 addresses in 2019 alone. However, small and medium-sized businesses generally don’t have enough financial resources to purchase large quantities of IPv4 addresses or maintain the hardware for IP routing.

Who are the sellers of IP addresses?

IP addresses are not directly bought or sold, but rather exchanged between two organizations. Those interested in buying or selling IP addresses in large blocks can use a privately negotiated transaction service provided by a company such as IPv4.Global.

Companies can also use IP auctions, which are created by technology brokers and are dedicated to finding and connecting companies to IP addresses they need. Other parties that can help companies buy IP addresses include IP brokers, telcos/ISPs, hosting and infrastructure companies, and SaaS companies.

IP brokers are experienced with buying and selling IPv4 addresses globally and can help find the optimal seller for a fast, local or inexpensive transfer.

Telcos/ISPs help new subscribers buy public IP addresses, hosting and infrastructure companies provide clean IP addresses to deliver services to their customers, and SaaS companies help with global reach by providing IP networks from new locations.

FAQs

What is an IP address and why do people need new IPs?

An IP address (Internet Protocol address) is a unique numerical address assigned to each device connected to the internet. It is used to identify and locate a device on the network and allow for communication between devices. People need to purchase new IP addresses for a variety of reasons, such as for security, to access certain services, or to use specific technologies.

Purchasing your own IP address block offers increased security as it puts you in control of the information being sent out, and makes it more difficult for potential hackers to gain access to your data. Having a dedicated IP address also allows you to bypass CAPTCHAs and makes online payments easier. It also helps to maintain your online reputation and security.

What is the process for transferring an IP address?

The process for transferring an IP address typically involves six steps:

Step 1: Understand what you are looking for. Know what IP address you want to purchase, and how much you are willing to pay.

Step 2: Contact an IP broker. This will help ensure your transaction is safe and secure.

Step 3: Receive your new IP addresses after completing the purchase. Your broker will help get all the contracts in place to help secure your transaction.

Step 4: Get IPv4 pre-approval assistance. Make sure to build your business case with ARIN or APNIC to attain the appropriate IPv4 pre-approvals.

Step 5: Transfer support. Most brokers will support you during your transaction and ensure your IP addresses transfer within 2-3 weeks.

Step 6: Fixed prices & secure payment. Enjoy fixed and low rates and secure payment options for global transactions.

What is the IP address lease market?

The IP address lease market is a global market for buying, selling, and leasing IP addresses. Companies who require large amounts of IP addresses to expand their businesses can purchase IPv4 addresses from large corporations who have far more than they need. With less than 4% of the world’s supply of IPv4 addresses available for allocation, the depleting pool of available addresses has caused IP address prices to skyrocket.

The most significant buyers are hyperscalers, Internet Service Providers (ISPs), and IP transit providers, which hold 93% of the IPv4 transfer market share. Small and medium-sized businesses generally don’t have enough financial resources to purchase large quantities of IPv4 addresses and instead opt for leasing IP addresses which is a more cost effective option.

How do I find out more information about an IP address?

Step 1: Understand the basics. IP addresses are usually not bought or sold, but exchanged between two organizations. They are allocated by ARIN, the American Registry of Internet Numbers.

Step 2: Contact an IP broker, like IPtrading. There are many with years of trading and with experience in buying IP addresses and can help you quickly get the deal done.

Step 3: Understand what you are looking for. Knowing what you want to purchase and how much you are willing to spend will give you a good starting point.

Step 4: Receive your new IP addresses after completing the purchase. Your broker should help get all the contracts in place to help secure your transaction.

Step 5: Some brokers have lists of IP addresses for sale – Check out pages like these to see a list of IP addresses for sale.

Step 6: If you have further queries or need more information, you can contact your broker for a review of current pricing and to learn about your options. They can show you how to buy IP addresses and provide advice on the best course of action for your specific situation.

What is the impact of IP address scarcity on pricing?

The scarcity of IP addresses has resulted in a significant increase in prices for these resources in the IP market. As the available resources are rapidly depleting, the cost of a single address has risen by 35% in the last year, reaching prices up to $20-25 per IP.

This has created a newfound demand for IP leasing services, as it provides a cost-efficient and timely solution for businesses seeking to expand their services into new target markets.

Furthermore, the shortage of IPv4s has also slowed down internet penetration, as the high IP prices have made it difficult for businesses to access certain markets. The soaring cost of obtaining IPv4 address space will likely continue to increase as IPv6 adoption expands, and it will become more valuable to be on the IPv6 Internet than the legacy IPv4 Internet.

Do I Need my Own IP Address?

It depends on the situation and purpose. In most cases, you do not need your own exclusive IP address. Most devices are assigned a unique private IP address by their local network router, and this address is used for communication within the local network.

The router then uses Network Address Translation (NAT) to translate the private IP address to a public IP address for communication with the internet. This allows multiple devices on a single local network to share a single public IP address.

Some Situations Need Own IP Addresses

However, in some cases, you may need a dedicated, exclusive IP address:

1. Running a public-facing website or web server: If you want to run a public-facing website or web server, you’ll need a dedicated, public IP address so that visitors can access your site from the internet.
2. VoIP or video conferencing services: If you use Voice over IP (VoIP) or video conferencing services, you may need a dedicated IP address to ensure that these services work properly.
3. Remote access: If you need to remotely access another device, such as a home security camera, you may need a dedicated IP address to ensure that you can access the device from anywhere.

In general, if you just use the internet for browsing, email, and other standard activities, you don’t need a dedicated IP address. However, if you have specific requirements such as those listed above, you may need a dedicated IP address.

In summary, You don’t need a dedicated IP address in most cases, but it depends on the situation and purpose, such as running a public-facing website or web server, using VoIP or video conferencing services, or remotely accessing another device.54