Exactly.  Speed x distance = cost.  This is _exactly_ why IXPs get set up.  To 
avoid backhauling bandwidth from Dallas, or wherever.  Loss, latency, 
out-of-order delivery, and jitter.  All lower when you source your bandwidth 
closer.

                                -Bill



> On Oct 15, 2023, at 06:12, Tim Burke <t...@mid.net> wrote:
> 
> It’s better for customer experience to keep it local instead of adding 200 
> miles to the route. All of the competition hauls all of their traffic up to 
> Dallas, so we easily have a nice 8-10ms latency advantage by keeping transit 
> and peering as close to the customer as possible.
> 
> Plus, you can’t forget to mention another ~$10k MRC per pair in DF costs to 
> get up to Dallas, not including colo, that we can spend on more transit or 
> better gear!
> 
>> On Oct 14, 2023, at 23:03, Ryan Hamel <r...@rkhtech.org> wrote:
>> 
>>  Why not place the routers in Dallas, aggregate the transit, IXP, and PNI's 
>> there, and backhaul it over redundant dark fiber with DWDM waves or 400G 
>> OpenZR?
>> 
>> Ryan
>> 
>> From: NANOG <nanog-bounces+ryan=rkhtech....@nanog.org> on behalf of Tim 
>> Burke <t...@mid.net>
>> Sent: Saturday, October 14, 2023 8:45 PM
>> To: Dave Taht <dave.t...@gmail.com>
>> Cc: Network Neutrality is back! Let´s make the technical aspects heard this 
>> time! <nnag...@lists.bufferbloat.net>; libreqos 
>> <libre...@lists.bufferbloat.net>; NANOG <nanog@nanog.org>
>> Subject: Re: transit and peering costs projections   Caution: This is an 
>> external email and may be malicious. Please take care when clicking links or 
>> opening attachments.
>> 
>> 
>> I would say that a 1Gbit IP transit in a carrier neutral DC can be had for a 
>> good bit less than $900 on the wholesale market.
>> 
>> Sadly, IXP’s are seemingly turning into a pay to play game, with rates 
>> almost costing as much as transit in many cases after you factor in loop 
>> costs.
>> 
>> For example, in the Houston market (one of the largest and fastest growing 
>> regions in the US!), we do not have a major IX, so to get up to Dallas it’s 
>> several thousand for a 100g wave, plus several thousand for a 100g port on 
>> one of those major IXes. Or, a better option, we can get a 100g flat 
>> internet transit for just a little bit more.
>> 
>> Fortunately, for us as an eyeball network, there are a good number of major 
>> content networks that are allowing for private peering in markets like 
>> Houston for just the cost of a cross connect and a QSFP if you’re in the 
>> right DC, with Google and some others being the outliers.
>> 
>> So for now, we'll keep paying for transit to get to the others (since it’s 
>> about as much as transporting IXP from Dallas), and hoping someone at Google 
>> finally sees Houston as more than a third rate city hanging off of Dallas. 
>> Or… someone finally brings a worthwhile IX to Houston that gets us more than 
>> peering to Kansas City. Yeah, I think the former is more likely. 😊
>> 
>> See y’all in San Diego this week,
>> Tim
>> 
>> On Oct 14, 2023, at 18:04, Dave Taht <dave.t...@gmail.com> wrote:
>> >
>> > This set of trendlines was very interesting. Unfortunately the data
>> > stops in 2015. Does anyone have more recent data?
>> >
>> > https://nam12.safelinks.protection.outlook.com/?url=https%3A%2F%2Fdrpeering.net%2Fwhite-papers%2FInternet-Transit-Pricing-Historical-And-Projected.php&data=05%7C01%7Cryan%40rkhtech.org%7Cc8ebae9f0ecd4b368dcb08dbcd319880%7C81c24bb4f9ec4739ba4d25c42594d996%7C0%7C0%7C638329385118876648%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000%7C%7C%7C&sdata=nQeWrGi%2BblMmtiG9u7SdF3JOi1h9Fni7xXo%2FusZRopA%3D&reserved=0
>> >
>> > I believe a gbit circuit that an ISP can resell still runs at about
>> > $900 - $1.4k (?) in the usa? How about elsewhere?
>> >
>> > ...
>> >
>> > I am under the impression that many IXPs remain very successful,
>> > states without them suffer, and I also find the concept of doing micro
>> > IXPs at the city level, appealing, and now achievable with cheap gear.
>> > Finer grained cross connects between telco and ISP and IXP would lower
>> > latencies across town quite hugely...
>> >
>> > PS I hear ARIN is planning on dropping the price for, and bundling 3
>> > BGP AS numbers at a time, as of the end of this year, also.
>> >
>> >
>> >
>> > --
>> > Oct 30: 
>> > https://nam12.safelinks.protection.outlook.com/?url=https%3A%2F%2Fnetdevconf.info%2F0x17%2Fnews%2Fthe-maestro-and-the-music-bof.html&data=05%7C01%7Cryan%40rkhtech.org%7Cc8ebae9f0ecd4b368dcb08dbcd319880%7C81c24bb4f9ec4739ba4d25c42594d996%7C0%7C0%7C638329385118876648%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000%7C%7C%7C&sdata=ROLgtoeiBgfAG40UZqS8Zd8vMK%2B0HQB7RV%2FhQRvIcFM%3D&reserved=0
>> > Dave Täht CSO, LibreQos

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