[179531] in North American Network Operators' Group

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Re: Peering and Network Cost

daemon@ATHENA.MIT.EDU (Mark Tinka)
Fri Apr 17 06:40:15 2015

X-Original-To: nanog@nanog.org
To: Edward Dore <edward.dore@freethought-internet.co.uk>,
 Tore Anderson <tore@fud.no>
From: Mark Tinka <mark.tinka@seacom.mu>
Date: Fri, 17 Apr 2015 12:40:05 +0200
in-reply-to: <8E740079-528D-4C55-9BD0-8884A9EDC139@freethought-internet.co.uk>
Cc: "nanog@nanog.org" <nanog@nanog.org>
Errors-To: nanog-bounces@nanog.org



On 16/Apr/15 17:10, Edward Dore wrote:
>
> I don't have any quantifiable data on what has happened to IP transit
> costs over the same period, but for a point comparison I'd say that
> off the top of my head you can get a 1G CDR on a 10G port from a
> tier-1 provider in London for approximately the same cost as a 10G
> port at LINX these days, maybe slightly cheaper.

Transit costs are certainly falling at a much faster rate than exchange
point ports. However, because most major exchange points are pushing
reasonably high ports (1Gbps and 10Gbps) to members, the challenge with
filling those ports makes transit ports a more viable solution in the
short term.

If you're willing to stick it out long enough, peering ports can become
as cheap as transit ports, but they will never give you 100% coverage
like a transit port can.

Mark.

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