[72252] in North American Network Operators' Group

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RE: concern over public peering points [WAS: Peering point speed publicly available?]

daemon@ATHENA.MIT.EDU (Michael Smith)
Sat Jul 3 14:08:17 2004

Date: Sat, 3 Jul 2004 10:57:20 -0700
From: "Michael Smith" <mksmith@noanet.net>
To: "Mikael Abrahamsson" <swmike@swm.pp.se>, <nanog@merit.edu>
Errors-To: owner-nanog-outgoing@merit.edu




> -----Original Message-----
> From: owner-nanog@merit.edu [mailto:owner-nanog@merit.edu] On Behalf
Of
> Mikael Abrahamsson
> Sent: Saturday, July 03, 2004 10:22 AM
> To: nanog@merit.edu
> Subject: Re: concern over public peering points [WAS: Peering point
speed
> publicly available?]
>=20
>=20
> On Sat, 3 Jul 2004, Laurence F. Sheldon, Jr. wrote:
>=20
> > Does the person that sweeps the floor do so for free?  And supply
the
> > broom?
>=20
> The marginal cost of half a rack being occupied by an IX switch in a
> multi-hundred-rack facility is negiglabe. Yes, it should carry a cost
of a
> few hundred dollars per month in "rent", and the depreciation of the
> equipment is also a factor, but all-in-all these costs are not high
and if
> an IX point rakes in $200k a year that should well compensate for
these
> costs.
>=20
> --
> Mikael Abrahamsson    email: swmike@swm.pp.se
>=20
>=20
At the Seattle Internet Exchange a, granted, smaller peering exchange,
you have to account for the following costs (and, mind you, this list is
not exhaustive).

1) 1 Rack
2) Space for the rack in a secure facility
3) AC for the equipment
4) Power for the equipment (including line and UPS)
5) Fiber and Copper runs to the facility for cross-connects
6) Terminations of (5)
7) O&M of space and gear
8) Layer 8 and 9 negotiation of (1) through (7) to keep costs down.

That's not a trivial set of expenses, particularly when there are
limitations in place to recovering costs via non-cash methods, such as
advertising the hosting of the exchange.=20

Thankfully, there is some altruism on the behalf of several parties that
allow the exchange to continue providing "zero cost" connections to
participants.  I hardly think the cost of their time and effort is
"marginal".

Mike
NoaNet


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