The ISP IPv4 Challenge
ISPs and hosting providers face a constant need for IPv4 addresses to serve new customers. With RIR free pools exhausted, the secondary market is now the primary source. This guide outlines the most effective procurement strategies.
Strategy 1: Buy on the Secondary Market
Purchasing IPv4 blocks outright provides permanent address space with no recurring fees. Best for ISPs with stable, long-term demand.
- Advantages: No recurring cost, asset appreciation, full control
- Disadvantages: High upfront capital, transfer processing time
- Best for: Established ISPs with predictable growth
Strategy 2: Lease IPv4 Addresses
Leasing provides immediate access to IPv4 addresses with lower upfront costs. Ideal for growing ISPs or seasonal capacity needs.
- Advantages: Low initial cost, scalable, immediate availability
- Disadvantages: Ongoing costs, dependency on lessor
- Best for: Growing ISPs, temporary projects, testing new markets
Strategy 3: Deploy CGNAT
Carrier-Grade NAT allows multiple customers to share public IPv4 addresses. This extends your existing address space but introduces complexity.
- Advantages: Maximizes existing address utilization
- Disadvantages: Breaks some applications, adds latency, regulatory concerns in some regions
- Best for: Residential ISPs looking to stretch existing allocations
Strategy 4: Hybrid Approach
Most successful ISPs combine multiple strategies:
- Purchase core blocks for permanent infrastructure
- Lease additional capacity for growth and flexibility
- Deploy CGNAT for residential customers where feasible
- Accelerate IPv6 deployment for dual-stack capability
PA vs PI: Which Should ISPs Buy?
- PA (Provider Aggregatable): Designed for ISPs to assign to customers. Can be split and assigned flexibly.
- PI (Provider Independent): Assigned to end users. Less flexible for ISP sub-assignment but transferable.
For most ISPs, PA space is the right choice as it is designed for provider use and customer assignment.
Cost Planning
Budget for IPv4 as a regular operational expense. With prices trending upward, early acquisition saves money in the long run. Consider setting up price alerts to catch favorable opportunities.
Start your procurement: Buy IPv4 or Lease IPv4 on our platform. Browse current availability on our marketplace.