For starters I would like to apologize for cc-ing both nanog and my
new nn list. (I will add sender filters)

A bit more below.

On Sun, Oct 15, 2023 at 9:32 AM Tom Beecher <beec...@beecher.cc> wrote:
>>
>> 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. 😊
>
>
> There is often a chicken/egg scenario here with the economics. As an eyeball 
> network, your costs to build out and connect to Dallas are greater than your 
> transit cost, so you do that. Totally fair.
>
> However think about it from the content side. Say I want to build into to 
> Houston. I have to put routers in, and a bunch of cache servers, so I have 
> capital outlay , plus opex for space, power, IX/backhaul/transit costs. 
> That's not cheap, so there's a lot of calculations that go into it. Is there 
> enough total eyeball traffic there to make it worth it? Is saving 8-10ms 
> enough of a performance boost to justify the spend? What are the long term 
> trends in that market? These answers are of course different for a company 
> running their own CDN vs the commercial CDNs.
>
> I don't work for Google and obviously don't speak for them, but I would 
> suspect that they're happy to eat a 8-10ms performance hit to serve from 
> Dallas , versus the amount of capital outlay to build out there right now.

The three forms of traffic I care most about are voip, gaming, and
videoconferencing, which are rewarding to have at lower latencies.
When I was a kid, we had switched phone networks, and while the sound
quality was poorer than today, the voice latency cross-town was just
like "being there". Nowadays we see 500+ms latencies for this kind of
traffic.

As to how to make calls across town work that well again, cost-wise, I
do not know, but the volume of traffic that would be better served by
these interconnects quite low, respective to the overall gains in
lower latency experiences for them.



>
> On Sat, Oct 14, 2023 at 11:47 PM Tim Burke <t...@mid.net> wrote:
>>
>> 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://drpeering.net/white-papers/Internet-Transit-Pricing-Historical-And-Projected.php
>> >
>> > 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://netdevconf.info/0x17/news/the-maestro-and-the-music-bof.html
>> > Dave Täht CSO, LibreQos



-- 
Oct 30: https://netdevconf.info/0x17/news/the-maestro-and-the-music-bof.html
Dave Täht CSO, LibreQos

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