How Much Does An IPv4 Address Cost?

The current IPv4 address cost ranges from $35 to $52 for purchase, depending on block size and demand. If renting IPv4, expect to pay about $0.42 to $0.45 for each address per month. Naturally, these are just averages, and you’ll likely find various prices.

Like most commodities, the exact cost of an IPv4 address depends on several factors, including supply, demand, regional variations, and more. 

Table of Contents

1. IPv4 Pricing History: From Free to Priceless
2. How Much Does an IPv4 Address Cost Today?
3. Why IPv4 Prices Vary So Much
4. Buying vs. Renting: What’s Right for You?
5. Final Thoughts

Note: The data for this article has been extracted from multiple sources, including RapidSeedbox, IPXO, IPv4 Global, IPv4 Market Group, Voxility, and more. Any prices indicated should be taken as a general market overview.

1. IPv4 Pricing History: From Free to Priceless

It’s hard to believe now, but there was a time when IPv4 addresses were free. In the early days of the internet, no one thought we’d ever run out of them. Back then, you could request thousands of addresses from Regional Internet Registries (RIRs) without spending a dime. 

Companies grabbed what they needed—and often much more—because the supply seemed endless. After all, computers and networking gear were expensive and (at the time) of limited use to most consumers.

Then came the wake-up call.

a. The Birth of an IPv4 Market

By 2011, IPv4 exhaustion had hit. The last free blocks had been handed out, and these “free” addresses suddenly became a hot commodity. And as you know, when there’s a limited supply of anything, those with deeper pockets will often make the first move.

Microsoft made headlines that year by buying 666,624 IPv4 addresses from Nortel at $11.25 each. This deal marked the start of the IPv4 market, where businesses began paying real money for something they used to take for granted.

2. How Much Does an IPv4 Address Cost Today?

The IPv4 address pool will not grow; it’s physically impossible. That’s led to the cost of IPv4 surging over the years. There’s simply too much demand for this finite resource. Prices are affected by block size, region, and market conditions.

a. Buying IPv4 Addresses: The Current Price Range

If you want to purchase outright, you can expect an IPv4 address cost of between $35 to $52 per address. Larger blocks, like /16 or /17 subnets, often come at lower per-address prices, while smaller blocks, like /24 subnets, tend to cost more. 

For example:

• A /24 block (256 addresses) might cost between $9,000 and $15,000.
• A /16 block (65,536 addresses) could range from $2.3 million to $3.9 million.

While that may sound a little unusual, there’s a logic behind this peculiarity. Smaller blocks are more in demand because more businesses simply need fewer addresses. 

b. Renting IPv4 Addresses: A Flexible Alternative

For businesses that don’t need permanent ownership, renting IPv4 addresses can be more affordable. IPv4 rentals cost about $0.44 to $0.47 per address per month. Renting is ideal for short-term projects, startups testing new services, or businesses transitioning to IPv6.

For example:

• A /24 block might cost $110 to $120 per month.
• A /22 block (1,024 addresses) could be rented for around $450 to $500 monthly.

Start leasing today and save big!

3. Why IPv4 Prices Vary So Much

For those in the know, we already have IPv6 addresses, which is meant to alleviate the IPv4 address shortage. So why are prices for IPv4 still climbing? And how do we know the right price to pay if we need IPv4 addresses?

Let’s reconsider the factors that determine IPv4 address cost.

a. Demand That Won’t Quit

Even with IPv6 available, IPv4 remains a necessity for many businesses. Internet Service Providers (ISPs) need them to connect new customers, and hosting providers use them for virtual machines, websites, and apps. 

Startups rely on IPv4 for compatibility as they launch new services. The sheer volume of businesses still dependent on IPv4 drives intense demand, which is why there are even IPv4 auctions nowadays.

b. A Finite Supply

Not to sound like a broken record, but we’re out of IPv4 addresses. The original pool of 4.3 billion addresses seemed like plenty in the 1980s, but today, it’s a drop in the ocean. We ran out more than a decade ago. 

Now, the only IPv4 addresses available are those being resold, recycled, or rented. This limited supply keeps prices high. It’s not like a commodity you can get more of – there’s nothing there.

c. Block Size: Bigger Isn’t Always Better

Not all IPv4 blocks are priced equally. Smaller blocks, like /24 subnets, are in higher demand because they’re easier for small businesses. As a result, they often cost more per address than larger blocks, like /16 subnets.

d. Regional Pricing Differences

Where you’re buying IPv4 addresses matters, too. Prices vary across regions because of differences in demand and availability. For instance:

• North America and Europe generally have higher prices due to strong demand.
• Some regions in Asia and Africa may have slightly lower costs due to market conditions.

e. The Cost of Doing Business

Buying or renting IPv4 addresses often involves additional fees. After all, every business needs to make money. Brokers, for example, charge for their services, and transfer costs can add up. These extra expenses are another factor pushing prices upward.

f. The Transition Bottleneck

IPv6 is the long-term solution, but the transition is slow. Many businesses are hesitant to adopt IPv6 fully because of compatibility issues with older systems and the time required for upgrades. This hesitation means IPv4 remains essential, sustaining its high value.

4. Buying vs. Renting: What’s Right for You?

When acquiring IPv4 addresses, you have two main options: buying or renting. Each choice has benefits and drawbacks, so the best option depends on your needs, budget, and long-term plans.

a. Buying IPv4 Addresses: Ownership and Control

Purchasing IPv4 addresses gives you full ownership, meaning you don’t have to worry about ongoing fees or lease terms. It’s an excellent option for businesses with long-term needs or those wanting complete control over their IP resources.

Benefits of Buying

• Long-Term Savings: Avoid recurring rental costs by making a one-time purchase.
• Stability: Secure the addresses you need without worrying about availability in the future.
• Resale Potential: If you no longer need them, you can sell your IPv4 addresses to recoup costs.

Drawbacks of Buying

• High Upfront Cost: The initial investment can be significant, with an IPv4 address cost between $35 to $52 per address.
• Commitment: You’re locked into owning these addresses, even if your needs change.

Who Should Buy IPv4 Addresses?

• ISPs
• Hosting providers
• Large organizations
• Companies with long-term IP requirements

b. Renting IPv4 Addresses: Flexibility and Low Commitment

Renting is an excellent choice for businesses that only need IPv4 addresses temporarily or want to avoid the upfront costs of buying. You pay a monthly fee (around $0.42–$0.45 per address) and can scale up or down as needed.

Benefits of Renting

• Lower Initial Costs: No need for a significant upfront investment.
• Flexibility: Adjust the number of addresses you rent based on changing needs.
• No Maintenance: Avoid the hassle of managing ownership or transfer processes.

Drawbacks of Renting

• Recurring Costs: Long-term rentals can add up, potentially exceeding purchase costs.
• Dependency: You rely on the lessor’s terms and availability.

Who Should Rent IPv4 Addresses?

• Startups
• Temporary projects
• Those transitioning to IPv6

5. Final Thoughts

While IPv4 address cost has soared over the last decade, the market is stabilizing. Current prices range from $35 to $52 per address, but some analysts predict slower growth due to factors including IPv4 recycling, economic fluctuations, and IPv6 growth.

IPv4 won’t lose its value overnight, but its importance will diminish as IPv6 adoption grows. This is especially true for forward-thinking organizations. However, IPv4 will likely remain relevant for years in sectors that depend on legacy systems.

Get IPv4 addresses now!