Posted: 12th Sep, 2008 By: MarkJ
The
London Internet Exchange (LINX), a crucial hub for many UK and European ISPs, reports that record-breaking membership growth in the first half of 2008 has allowed it to make
substantial price cuts.
Annual membership fees have been cut by 10%, as have the price of 1GigE and 10GigE ports on one of LINX's two independent local area networks (LANs). Port prices on the second LAN are being set 25% lower than on the first in a bid to encourage members to link to both networks:
LINX chief executive John Souter said: "Under LINX's mutual-ownership membership model, profits are returned to members in the form of price cuts. The cuts we have announced are fully offset by the growth in our membership since January. We have already connected 39 new members in 2008 and are confident of many more joining before the end of the year."
LINX charges a flat rate membership fee, now set at just £2,250 per annum, to cover the costs of running the organisation, in which all members have a single vote. The move is unlikely to have any real impact upon the price end-users pay for their broadband.