Dimensioning the elephant: an empirical analysis of the IPv4 number market

Abstract

Purpose

This article aims to quantify the emerging transfer market for internet protocol (IPv4) numbers and provides an initial assessment of factors and policies impacting those transactions.

Design/methodology/approach

The research draws on Regional Internet Registry records and conducts basic analysis of stocks, flows and proportions to assess the nature of this emerging market for IP number blocks and explore some of its implications for internet governance.

Findings

There is a thriving and growing market for IPv4 number blocks. The market is improving the efficiency of IPv4 address allocation by moving numbers from unused or under-utilized holders to organizations that need them more. Buyers willingly pay for number blocks they could get for free in order to benefit from more liberal needs assessments and stronger property rights.

Research limitations/implications

Information about prices is not available and some transfers may take place through leasing arrangements, which are not covered by this paper. Future research should continue to investigate the transfer market, including activity skirting or occurring outside the current RIR policy environment.

Practical implications

RIRs should liberalize needs assessments and remove other sources of friction to the transfer market.

Originality/value

No known prior assessment of the transfer market has been conducted. The research has value for policymakers and industry decision makers.

Citation

Mueller, M., Kuerbis, B. and Asghari, H. (2013), "Dimensioning the elephant: an empirical analysis of the IPv4 number market", info, Vol. 15 No. 6, pp. 6-18. https://doi.org/10.1108/info-07-2013-0039