Cost Calculator AI
Technology & Digital Services

Bandwidth Cost Calculator

Calculate committed information rate (CIR) bandwidth costs, 95th percentile burst surcharges, port speeds, and data center cross-connect fees.

Calculated Connectivity Summary

Dedicated Bandwidth Pricing Formula

Monthly Cost = (Committed Rate Mbps * Rate) + (Burstable 95th Mbps * Burst Rate) + Cross-Connect Fees
  • Committed Information Rate (CIR): Guaranteed baseline throughput guaranteed by ISP SLA.
  • Rate Per Mbps: Monthly cost per committed megabit ($0.50 to $4.00/Mbps depending on volume).
  • Burstable 95th Percentile: Usage exceeding CIR measured at the 95th percentile peak interval.
  • Data Center Cross-Connect: Physical fiber cross-connect patch charge ($150 to $350/month).

Step-by-Step Worked Example

Scenario: A company contracts 100 Mbps CIR at $2.50/Mbps on a 1 Gbps port, with a $150 cross-connect and 50 Mbps burst usage billed at $3.50/Mbps.

Calculation Steps:

  1. Base CIR Charge: 100 * $2.50 = $250.00
  2. Burst Usage Charge: 50 * $3.50 = $175.00
  3. Cross-Connect Fee: $150.00
  4. Total Monthly Bandwidth: $250 + $175 + $150 = $575.00
  5. Annual Bandwidth Budget: $575 * 12 = $6,900.00
Result: Total dedicated bandwidth cost is $575.00/month ($6,900.00 annually) at an effective $3.83/Mbps.

How to Use This Calculator

  1. 1Enter your committed bandwidth throughput in Mbps.
  2. 2Input the negotiated contract rate per Mbps.
  3. 3Add datacenter cross-connect or local loop physical circuit fees.
  4. 4Include 95th percentile burst overages if operating on a burstable port.

Assumptions & Limitations

  • Calculated based on standard symmetric enterprise DIA (Dedicated Internet Access).
  • Assumes 95th percentile billing algorithm standard in enterprise colocation.

Frequently Asked Questions

What is 95th percentile bandwidth billing?

ISPs sample interface traffic every 5 minutes throughout the month, sort the samples from highest to lowest, discard the top 5% of peak spikes, and bill based on the 95th percentile rate.

Why is dedicated internet access (DIA) more expensive than residential broadband?

DIA features a 1:1 uncontended connection (no neighborhood oversubscription), symmetric upload/download speeds, guaranteed latency, and a 99.99% uptime Service Level Agreement (SLA).

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