International Long Distance Prices Decline 5% in 2011

"Prices in international long distance only go down," says Telegeography VP Stephan  Beckert. The only issue seems to be the rate of decline.

But that wasn't anything unusual in 2011. International long distance rates have been dropping since about 2000, though there are regional variations.

The declines are a serious issue for retail service providers, who are seeing increasing amounts of traffic "growth" siphoned off by Skype.

As a percentage of overall global bandwidth, though, video and Internet traffic now is what drives capacity requirements, not enterprise data or voice.

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