[152550] in North American Network Operators' Group
Re: CDNs should pay eyeball networks, too.
daemon@ATHENA.MIT.EDU (Patrick W. Gilmore)
Wed May 2 07:10:25 2012
In-Reply-To: <4FA0C0CF.1010905@axu.tm>
From: "Patrick W. Gilmore" <patrick@ianai.net>
Date: Wed, 2 May 2012 07:09:36 -0400
To: Aleksi Suhonen <nanog-poster@axu.tm>
Cc: "nanog@nanog.org" <nanog@nanog.org>
Errors-To: nanog-bounces+nanog.discuss=bloom-picayune.mit.edu@nanog.org
On May 2, 2012, at 1:06, Aleksi Suhonen <nanog-poster@axu.tm> wrote:
> I have no idea what's really going on at LLNW, but I thought I'd still sha=
re an alternative view on this matter:
>=20
> My understanding is that LLNW is spending tons of money to upgrade some of=
their IXP connections to 100GbE in Europe. With that in mind, I'm not that s=
urprised if they wish to get some new income to cover those costs. While con=
tent is king, eye balls are kings too. Go figure.
Lots of networks upgrade their infrastructure. It means they are doing more=
traffic, which hopefully means their business is doing well. Very few - in=
fact, I can't think of a single network - start asking for paid peering jus=
t because they are upgrading their ports. Networks either ask for paid peer=
ing, or don't, irrespective of their IX upgrade schedule. It is based on wh=
ether they think they have power over their peers. I guess we know how LLNW=
feels now.
The interesting thing to me is the reversal from previous years. Most conte=
nt providers have issues with eyeball networks saying "pay me for bits". Co=
ntent networks have historically claimed this is silly of the eyeball networ=
ks - including LLNW. Eyeballs get paid by their customers (DSL, cable, what=
ever) to "reach the Internet". Content networks pay to bring the content ri=
ght to the eyeball's door. Or so the theory goes.
This move belies that argument LLNW has made themselves in the past. It is=
not about "your customer pays you, my customer pays me." It is about who c=
an force whom to pay (or not, as most people who have spoken up said they wo=
uld not pay).
End of day, this doesn't change the way of the world. LLNW is a big network=
, but compared to the whole Internet, they are relatively small. There will=
be corner cases like this, and the market will decide who wins & who loses.=
<insert comment about "except those with monopoly power" or some such>
--=20
TTFN,
patrick
