Published on May 13th, 2015
The IPv4 purchase process can be quite complex. As an IPv4 buyer, it is imperative to conduct due diligence, and understand the correct questions to ask, in order to ensure an efficient transaction that meets your business needs.
In ARIN and APNIC regions, you must engage in the pre-approval process to understand the block size your business will be approved for. After understanding this, you will be able to effectively manage your commercial process by finding an appropriate seller. By completing the two steps in this order it will ensure increased transaction efficiency and better utilization of your company’s financial resources.
There are many technical intricacies to understand and, if you don’t have internal expertise with this process, leveraging our broker knowledge will be very useful. For example, it is important to note that when you do apply for IPs your existing blocks have to be at least 80% utilized. Furthermore, the utilization number refers to each individual block size, rather than the aggregate.
Additionally, as a buyer, you need to demonstrate to ARIN how the IPs will be used. This can be particularly challenging, and is something that IPv4 Market Group can assist you in completing in a timely manner.
As ARIN still has free IP addresses available, the first consideration should be to see if your business needs can be met via this method. At IPv4 Market Group we strongly encourage exploring this option prior to making a purchase. The difference between the two options is the duration the supply will last. Currently, ARIN will only provide businesses with a 3-month supply, whereas a 24-month supply can be purchased on the transfer market. Therefore, if receiving IP addresses from ARIN, it will result in conducting the transfer process 8 times more often.
Although price is a major consideration, it is important to assess these additional factors: