IPv4 leasing vs buying? As IPv4 scarcity continues to drive market volatility, organizations face a crucial decision: should you lease or buy IPv4 addresses? For IT leaders, CFOs and procurement teams seeking financial clarity, this cost-benefit analysis breaks down the implications of both approaches to help you make an informed, profit-driven decision.
- The Enduring Importance of IPv4 in SaaS and Infrastructure
- Buying IPv4 Addresses: Pros, Cons and Use Cases
- Leasing IPv4 Addresses: Benefits of Financial Flexibility
- Cost-Benefit Analysis: Leasing vs. Buying IPv4 Addresses
- Making the Right IP Strategy Choice for Your Business
- Frequently Asked Questions (FAQ)
The Enduring Importance of IPv4 in SaaS and Infrastructure
Despite the gradual shift toward IPv6, IPv4 remains essential due to widespread compatibility, legacy infrastructure and slow adoption of its successor.
Demand remains high and supply continues to tighten, pushing prices upward. This persistent demand makes IP address acquisition a vital line item in many tech budgets, especially for data centers, ISPs, SaaS providers and ad tech platforms.
Buying IPv4 Addresses: Pros, Cons and Use Cases
Purchasing IPs gives your organization permanent control over a digital asset. Prices vary depending on block size and market demand, but current market rates range from $35 to $60 per IP as of early 2025.
Pros:
- • Full ownership: Once acquired, the IP block is yours indefinitely.
- • Asset appreciation: IPv4 prices have historically increased, offering capital growth.
- • No recurring costs: No monthly fees or leasing terms (excluding RIR fees)
- • Stability: Eliminates concerns over contract renegotiations or revocations.
Cons:
- • High upfront capital: Large blocks (e.g. /16 or /18) can cost hundreds of thousands.
- • Liquidity risk: Selling later can take time and involve legal/technical overhead.
- • Maintenance: Ownership comes with responsibility for proper IP hygiene and reputation.
Leasing IPv4 Addresses: Benefits of Financial Flexibility
Leasing allows businesses to access IP addresses quickly without significant capital expenditure. Monthly rates typically range between $0.30 to $2.50 per IP, depending on reputation, geolocation and block size.
Pros:
- • Lower initial costs: Ideal for startups, growth-stage companies, or budget-conscious teams.
- • Scalability: Easily add or reduce IP inventory as your business evolves.
- • Faster deployment: No waiting for registry transfers or ownership verification.
- • OPEX-friendly: Leasing is treated as an operational expense (OPEX), which may offer tax advantages.
Cons:
- • Recurring expense: Long-term leasing can exceed purchase price over time.
- • Lack of ownership: You’re bound by terms, with less control over longevity and reallocation.
- • Reputation risk: Leased IPs may come with history or reputational baggage (blacklists, abuse complaints).
Cost-Benefit Analysis: Leasing vs. Buying IPv4 Addresses
Break-Even Point Explained (With Real-World Figures)
| Metric | Buying (Example: $50/IP) | Leasing (Example: $1/IP/Month) |
| 1-Year Cost (per IP) | $50 | $12 |
| 3-Year Cost (per IP) | $50 | $36 |
| 5-Year Cost (per IP) | $50 | $60 |
| Ownership Value After 5 Yrs | $60+ (appreciated value) | $0 (no ownership) |
Break-even point: Between 3–4 years, leasing may become less cost-effective than purchasing- especially for long-term projects or infrastructure deployments.
Making the Right IP Strategy Choice for Your Business
Choosing between leasing and buying IPv4 addresses isn’t just a technical decision- it’s a financial strategy.
• Evaluate your company’s cash flow, long-term IP needs and operational priorities before committing.
• With the right approach, your IP assets can drive growth, scalability and ROI in a resource-constrained internet landscape.
Why PubConcierge Is Your Trusted IP Leasing and Buying Partner
At PubConcierge, we help organizations make smarter IP decisions through expert guidance, transparent pricing and reputation-safe leasing options.
Need help analyzing your IPv4 strategy? Get a free consultation from PubConcierge’s IP acquisition experts.
Frequently Asked Questions (FAQ)
1. Is it better to lease or buy IPv4 addresses?
It depends on your organization’s needs. Leasing IPv4 addresses is ideal for short-term projects, rapid scaling, or companies with limited capital. Buying IPv4 addresses makes more sense for long-term infrastructure needs, offering asset control and potential value appreciation.
2. How much does it cost to lease IPv4 addresses?
IPv4 lease rates typically range on average from $0.30 to $2.50 per IP per month, depending on block size, IP reputation, and geolocation. PubConcierge offers flexible, reputation-safe leasing options tailored to your business needs.
3. What is the current market price to buy IPv4 addresses?
As of 2025, the average purchase price is $35 to $60 per IP, depending on block quality and transfer conditions. Larger blocks (like /16 or /18) may offer a lower per-IP rate but require a higher upfront investment.
4. Are leased IPv4 addresses safe to use?
Yes, if sourced from a reputable provider. At PubConcierge, all leased IP blocks undergo strict vetting for blacklist status, abuse history and geolocation accuracy, ensuring safe deployment and email/IP reputation.
5. When do you break even on buying vs. leasing IPv4 addresses?
Generally, the break-even point is between 3–4 years. If your usage period exceeds this timeframe, purchasing is usually more cost-effective. Leasing remains the better option for flexibility and short-term ROI.
6. What are the tax benefits of leasing IPv4 addresses?
Leasing is typically classified as an operational expense (OPEX), which may offer immediate tax deductions. Buying is considered a capital expenditure (CAPEX) and may be depreciated over time. Always consult your finance team or tax advisor for guidance.
