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Kalorama Reaches $1.2 Billion in Brokered IPv4 Address Sales

WASHINGTONJan. 29, 2024 /PRNewswire/ — Kalorama Group, a boutique advisory firm specializing in large and complex IPv4 address transactions, announced today it has brokered the sale of IPv4 addresses worth $1.2 billion as of the end of 2023.

“After more than a decade in business, we’re thrilled to have crossed the billion-dollar mark,” said Josh Bourne, General Manager of Kalorama. “This milestone underscores Kalorama’s pivotal role in the IPv4 market — and our unique ability to meet the evolving needs of businesses in the digital age.”

IPv4 addresses — a type of IP, or internet protocol, address — have been a cornerstone of the internet since the early web. IP addresses are assigned to virtually every device that uses the internet.

Demand for IPv4 addresses remains robust. In 1980, IPv4 was introduced, and the supply of addresses was forever fixed at 4.3 billion. Since a secondary market for IPv4 addresses was established 12 years ago in response to growing demand from the tech sector, 309 million IPs — 7.4% of the total supply — have changed hands in North America alone. The market is dominated by the 25 most acquisitive entities in the North America region that have received 86% of all IP addresses that have been transferred.

Larger IPv4 blocks have appreciated the most in value. Prices have ascended 1,525% since the market’s inception. Address value increased slowly in the first six years and has exploded over the last seven years. As a result, the market opportunity for businesses seeking to buy or sell these unique identifiers has dramatically expanded.

Kalorama has solidified its position as a highly-trusted advisor in the IPv4 market by consulting for numerous well-supplied institutions that own, or owned, a large surplus of IP addresses. The firm has special expertise in handling large-scale transactions and excels in facilitating deals involving 1 million addresses or more. For example, Kalorama advised on four nine-figure transactions and a significant number of eight-figure transactions in just the last two years.

“Many businesses with a significant inventory of IPv4 addresses are unaware that they are potentially sitting on millions of dollars in IP assets, a large portion of which may be unneeded and irrelevant to the core functions of their businesses,” Bourne said. “We look forward to helping these companies capitalize on this dynamic market by providing expert guidance throughout the entire IPv4 transaction process.”

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