[AusNOG] Domestic Peering WAS: Vocus peering traffic missingfrom PIPE-IX?

[Sean K. Finn]

I thought HE.Net was just one of the worlds largest peering networks, not an actual Internet network? 

Someone, please, correct me if I'm wrong.

$2 per Megabit is current published list prices, if not less.
(38 cents per megabit from WAIX, 50c per megabit at 1Gbit in VIC or QLD?)

Heck, 10GB is even less, sub 10c per megabit.


That being said, I don't see any rush to bastardise the market over here.

We're one tenth of the population of the US, and roughly geographically similar.

The same or similar Hurdles need to be faced here as anywhere else, but with much less revenue to drive it.

If we start cutting the arse out of our genuine transit prices for national haulage, why on earth would anyone want to be in this business, let alone be a quality provider in this business?


International backhaul prices on backhaul aside, a truly national IP provider has to pay to..

A) Lug the data all over Australia on either their own network, or a leased network
B) Pickup up actual International transit, through protected paths
C) Pickup National traffic either through connections with the GOF or at Peering exchanges.

We pay for the privilege of not having to do this yourself.

AND, as much as some participants on this list will argue with me, and have done..

1) Peering, Multilateral, and Private, is NOT going away any time soon, as price isn't the only driver.
2) Price isn't going to be the driver, because in order for your Transit models to get to the price of peering, you're already out of a job and in a different industry so that you can feed yourself.
3) Because BEER that's Why. 

The Status QUO is exactly TEN times the price of equivalent whatever as provided in the U.S, plus or minus 10% for population / political variance.

Try and change it if you will, but if it does change, you'll only be doing yourself and everyone around you a disservice.

-----Original Message-----
From: ausnog-bounces at lists.ausnog.net [mailto:ausnog-bounces at lists.ausnog.net] On Behalf Of Luke Iggleden
Sent: Saturday, November 10, 2012 8:55 AM
To: ausnog at lists.ausnog.net
Subject: Re: [AusNOG] Domestic Peering WAS: Vocus peering traffic missingfrom PIPE-IX?

On 9/11/12 3:46 PM, Joshua D'Alton wrote:
> If AAPT are offering deals down to the $15/Mbit level I'd think 
> reliability is probably not a great concern, even if you were a 
> business grade ISP. Without knowing their exact situation it would 
> make sense that them charging more for transit probably wouldn't help 
> reliability as much as people would think. With players like Exetel 
> iiNet and TPG gathering transit from them, you can be fairly sure that 
> 'transit' is still domestic for AAPT, more than likely just to another 
> Go4. In other words, cheap.
>
> It is certainly needed to help reduce the number of situations where a 
> provider will sign with someone like NTT for their transit, terminate 
> it in Sydney, and let NTT do whatever they want with it after it 
> leaves AU shores, since by that point it is going to be high-latency regardless.
> And for things like Office365 online, latency to SG really doesn't matter.
>

While I'm sure $15/Mbit is out there for some commit levels, it's far from $1/Mbit that he.net offers for the first Gbit/s in the USA.

If we want to be serious about making our hosted services (and
datacentres!) competitive both domestically & internationally we need to be seeing sub $2/Mbit for state level peering.

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