[102010] in North American Network Operators' Group

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RE: Cost per prefix [was: request for help w/ ATT and terminology]

daemon@ATHENA.MIT.EDU (Michael K. Smith - Adhost)
Tue Jan 22 12:49:31 2008

Date: Tue, 22 Jan 2008 09:30:05 -0800
In-Reply-To: <3c3e3fca0801220755g390dc193u32cf28213d4ec0a1@mail.gmail.com>
From: "Michael K. Smith - Adhost" <mksmith@adhost.com>
To: "William Herrin" <herrin-nanog@dirtside.com>, <nanog@merit.edu>
Errors-To: owner-nanog@merit.edu



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Hello Bill:

> -----Original Message-----
> From: owner-nanog@merit.edu [mailto:owner-nanog@merit.edu] On Behalf Of
> William Herrin
> Sent: Tuesday, January 22, 2008 7:55 AM
> To: nanog@merit.edu
> Subject: Re: Cost per prefix [was: request for help w/ ATT and
> terminology]
>=20
>=20
> On Jan 21, 2008 10:28 PM, Jon Lewis <jlewis@lewis.org> wrote:
> > Is there really any point in trying to put a $ figure on each route?
>=20
> Jon,
>=20
> Emphatically Yes!
>=20
> Right now we rely on ARIN and the RIRs to artificially suppress the
> growth of the prefix count and with it the availability of PI space.
> This is a Really Bad Thing on so many levels, but absent a viable
> market-based solution to the problem, authority-based rationing is
> really the only thing we can do.
>=20
> If we can determine the cost to announce a prefix then we could
> develop a market-based solution to the problem... One where instead of
> suppressing the prefix count and dealing with it as business overhead,
> we GET PAID for announcing and propagating prefixes.
>=20
> There are several market models that could work, but they all depend
> on having a reliable metric for the cost of announcing a prefix. So,
> if you think you'd like to get paid for announcing routes instead of
> continuing to give the service away for free then yes, there is a
> point to determining the cost of a prefix.
>=20
Hmm, who gets paid?  It sounds like your hinting around a telco-type recipr=
ocal payment model (correct me if I'm wrong).  Do I pay my upstreams who in=
 turn pay there upstreams and so on and so on?  Or, is there some central, =
uber-authority that gets paid by all of us?  It seems to me that there are =
many billing models that accommodate point-to-point relationships, but I'm =
having a hard time coming up with a mental model of payment in the many-to-=
many environment in the DFZ.

Regards,

Michael Smith

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