Average Per-Bit Delivery Cost

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Average Per-Bit Delivery Cost, or APBDC, is one relatively common method by which Internet Service Providers calculate their cost of goods sold. Basically, it averages the cost of however many bits were actually sent or received across a link with the actual cost of operation of the link. This is contrasted principally with flat-rate and 95th percentile functions, which are typically used for billing rather than cost-accounting.

External links

• Packet Clearing House: Brief tutorial on the calculation of Average Per-Bit Delivery Costs