IPv4 Market Activity Rebounds Amid BEAD Program Delays

After a sharp drop in May, IPv4 transfer requests surged in June—suggesting renewed momentum in the market, though broader trends remain shaped by federal funding uncertainties, evolving infrastructure demands, and shifts in policy direction.

Based on ARIN’s published transfer request data and Brander Group’s internal tracking, May saw a -22% drop in IPv4 transfer requests compared to the monthly average for 2025. Currently transfer requests sit around 161, which is a sharp +40% increase as of June 2025.  As compared to the average 154 per month, this month is an increase of +5% increase over the year.

This rebound brings June’s numbers back in line with the trend seen in the first 2 months of 2025 — offering a strong signal that demand remains intact, even as macroeconomic and regulatory factors continue to shape market behavior.

BEAD Funding Uncertainty Continues to Impact ISPs

Much of the volatility can be attributed to ongoing delays and confusion surrounding the $42.5 billion BEAD (Broadband Equity, Access, and Deployment) Program. Originally designed to empower state-level broadband expansion—particularly for rural and under-served areas—BEAD has encountered slow rollouts, shifting federal priorities, and proposed eligibility changes.

The May slowdown likely reflects a temporary stall as smaller ISPs delayed infrastructure investments while waiting for clearer BEAD implementation guidelines. These delays can be largely attributed to rumors of the federal government redirecting portions of the program’s funding toward satellite internet providers like Starlink, causing additional uncertainty for traditional fixed-line operators.

June Buyer & Seller Activity Tells an Industry Story

Brander Group’s analysis of ARIN’s June transfer data reveals meaningful patterns:

• Small ISP’s are more aggressive buyers – This suggests infrastructure buildouts and network scaling, possibly tied to AI-related bandwidth demand.
• Enterprise tech firms are downsizing unused blocks – Suggesting a continuing trend of offloading IPv4 assets during cloud migrations and post-merger consolidations.
• A dual-track market – Buyers are preparing for capacity surges, while sellers monetize legacy space.

Hyperscaling is Driving IPv4 Demand

One of the biggest forces shaping the IPv4 landscape in 2025 is the hyperscalers driving prices down, while demand continues to rise. Hyperscalers, massive cloud infrastructure providers like Amazon, Microsoft, Google, and Meta, build and expand networks at a scale designed to support billions of users and compute-intensive workloads, including AI, machine learning, and real-time data analytics.

This hyperscaling model requires enormous amounts of IP address space to ensure seamless operations across distributed data centers. IPv4, despite being a legacy protocol, remains critical to that effort. Hyperscalers often acquire large contiguous IPv4 blocks to maintain compatibility with legacy systems, minimize latency, and avoid the operational complexity of bridging between IPv6 and IPv4 environments. Their steady demand decouples the market from temporary funding issues and helps maintain a healthy baseline of transfer activity—even when smaller ISPs hesitate.

IPv4 Address Requirements Remains Strong

IPv4 remains an indispensable asset. Beyond connectivity, it provides scalability and operational stability. As broadband expansion continues, with or without federal funding, demand for IPv4 subnets is intensifying—particularly in underserved and emerging markets where infrastructure remains rooted in IPv4.

The enduring strength of the IPv4 market reflects the realities of modern networking. In a landscape where agility, customer responsiveness, and speed to deployment matter most, organizations prioritize solutions that are proven, scalable, and supported across all environments. While tariffs have increased hardware costs and BEAD delays have slowed some U.S. infrastructure projects, the digital race continues—and IPv4 remains key to stable, immediate growth. In a year of uncertainty, IPv4 addresses have proven to be among the most reliable and strategic infrastructure investments.