[69771] in North American Network Operators' Group
Re: Backbone IP network Economics - peering and transit
daemon@ATHENA.MIT.EDU (Patrick W.Gilmore)
Tue Apr 20 01:00:44 2004
In-Reply-To: <DD7FE473A8C3C245ADA2A2FE1709D90B0DB0AB@server2003.arneill-py.sacramento.ca.us>
Cc: Patrick W.Gilmore <patrick@ianai.net>
From: Patrick W.Gilmore <patrick@ianai.net>
Date: Tue, 20 Apr 2004 00:03:43 -0400
To: nanog@merit.edu
Errors-To: owner-nanog-outgoing@merit.edu
On Apr 19, 2004, at 10:45 PM, Michel Py wrote:
>> Peering? Who needs peering if transit can be
>> had for $20 per megabit per second?
>
> The smaller guys that don't buy transit buy the gigabit.
Then their traffic will not justify 1000s of $$ per month for lines,
racks, and NAP connection.
Unless they have cheap access to a free NAP (TorIX, SIX, etc.),
transit, even at higher prices, is probably be the best / cheapest way
to reach the Internet.
OTOH, for the guys who do buy a lot of traffic, a NAP connection might
be worth it. For instance, if you have a node in 151 Front Street, it
would be silly not to connect to the TorIX for a one-time fee and send
free traffic to a lot of good eyeballs in Canada - not to mention the
performance benefits. The same might be true of an PAIX / Equinix
location.
Saying "who needs [foo]" is not a good question without supplying the
other variables. It all depends on your traffic mix, locations, deals
you can make with the NAPs, networks who will peer with you, etc.
--
TTFN,
patrick