Businesses today depend on having accurate, large-scale access to public web data. The need for reliable proxy infrastructure has grown quickly, whether it’s for market research, ad verification, price comparison, or cybersecurity testing. Unlimited residential proxies are some of the most powerful options out there, especially when they come with bandwidth that is technically unlimited but charged based on Mbps tiers (e.g., 100, 200, 300, 500, 1000 Mbps).

This article talks about residential proxies, how unlimited residential proxies work, and what it means when providers charge by the megabit instead of the gigabyte.

1. What are residential proxies?

A residential proxy sends your internet traffic through an IP address that an Internet Service Provider (ISP) gives to a real residential device. These IP addresses belong to real homes and real users, which makes them look very trustworthy to websites.

Residential proxies are linked to real consumer ISPs, while datacenter proxies come from cloud servers. For instance, an IP address from Deutsche Telekom or Vodafone will look like a regular home internet connection.

These proxies are much less likely to be blocked because websites don’t usually think residential IP addresses are suspicious.

2. The Main Idea Behind Residential Proxy Networks

Residential proxy providers have huge networks of IP addresses that come from real devices. Most of the time, these networks are built through:

SDK partnerships with developers of apps
Networks based on peer-to-peer (P2P) consent
Partnerships with ISPs
Systems for participation that give rewards

People who sign up give permission for their IP addresses to be used as exit nodes in exchange for rewards like premium app access or money.

When a client sends a request through the proxy provider, the system picks a residential IP from its pool and sends the request through that IP. The target website sees a request coming from a real home instead of a server farm.

3. What Does “Unlimited” Mean?

In the past, residential proxies charged by the GB of data used. You could pay for 100 GB of traffic each month, for instance.

But with unlimited residential proxy plans, the amount of bandwidth is not limited by the total amount of data. Instead, your usage is limited by the speed of the network (measured in Mbps), and prices are based on speed tiers like:

100 Mbps
200 Mbps
300 Mbps
500 Mbps
1000 Mbps

This means:

You can move as much data as you want.
The Mbps tier you buy limits your throughput speed.
You pay based on how much network capacity you use, not how much bandwidth you use.

4. How Unlimited Residential Proxies Work (A Technical Breakdown)

Let’s go through the steps one at a time.

Step 1: Connect to the Client

You use authentication credentials to link your scraping tool, browser, automation system, or API client to the proxy provider.

Step 2: Request Routing

When you send a request, like to get to a retail website, it goes to the proxy provider’s gateway server.

Step 3: Assigning an IP

The provider gives out a residential IP from its network pool on the fly. This IP can be:

Rotating (changes on request)
Sticky/session-based (lasts for a set amount of time)
Targeted to a specific country, region, or city

Step 4: Leave Through the Residential Node

The request goes through a real home device in the area you chose. The target website sees an IP address that looks like a normal person’s.

The response from the website goes back through the residential node, the provider’s infrastructure, and then to your client.

All of this happens in a matter of milliseconds.

5. The Part of Billing Based on Mbps

In unlimited residential proxy models, you pay for throughput capacity (Mbps) instead of total data transferred (GB).

What Does Mbps Mean?

Mbps (megabits per second) tells you how much data can go through your connection in a second.

For instance:

100 Mbps means you can send 100 megabits every second.
1000 Mbps (1 Gbps) lets a lot more data flow at the same time.

Why Charge by Mbps?

This model is good for both providers and users:

For Providers:

Predictable load on the infrastructure
Planning for capacity is easier
Keeps the network from getting too busy

For Users:

No worries about going over data caps
Great for scraping a lot of data
Cheaper when used in large amounts

If you scrape millions of pages every month, the price per GB can add up quickly. Unlimited plans based on Mbps let you use the internet without worrying about going over your data limit.

It’s important to know that pricing based on Mbps controls speed, not total usage.

For instance:

If you had a 200 Mbps plan, you could move terabytes of data every month.
The only thing that limits you is how quickly data moves at any given time.

Unlimited residential proxies are great for:

Scraping the web all the time
Watching in real time
Automation on a large scale
Platforms for gathering data
Tools for tracking SEO

7. Changing IPs and Making Them Bigger

Unlimited residential proxies often have big IP pools, with millions of IPs from dozens of countries.

There can be rotation:

Each request
Every few minutes
For each session
Based on custom API rules

Businesses can run high-frequency systems without stopping because they have unlimited data, a large pool of IP addresses, and billing based on speed.

8. Benefits of Unlimited Residential Proxies

1. Predictable Costs

You pay for speed, not how much data you have.

2. Want more power? You can instantly upgrade from 100 Mbps to 500 Mbps.

3. Less Risk in Operations

No surprise extra charges.

4. Residential IPs look like normal people to websites.

5. Reach Around the World

Get access to geo-targeted IPs all over the world.

9. Common Uses

A lot of people use unlimited residential proxies for:

Keeping an eye on prices in different areas
Checking ads
Protect your brand
Information about the market
Collecting data from social media
Testing for cybersecurity
Combining travel fares

Unlimited bandwidth is very useful for these tasks because they can need millions of requests every day.

Last Thoughts

Unlimited residential proxies are a big step forward in proxy infrastructure. Users pay for bandwidth capacity instead of data volume. This lets them access the web at a predictable, high scale without worrying about going over gigabyte limits.

These networks let businesses reliably and at scale collect public web data by using real residential IP addresses and advanced traffic routing systems. When set up with Mbps-based pricing tiers (100–1000 Mbps and higher), they offer both flexibility and speed for modern data-heavy tasks.

As the need for web intelligence grows, unlimited residential proxy systems will probably become the norm for data extraction and monitoring solutions that are good enough for businesses.

How Do Unlimited Residential Proxies Work? | Bandwidth & Mbps Pricing Explained