[AusNOG] Why is peering in Australia so hard?

[Bevan Slattery]

Josh ­ please read below

From:  Joshua D'Alton <joshua at railgun.com.au>
Date:  Sunday, 4 August 2013 4:56 PM
To:  Cameron Daniel <cdaniel at nurve.com.au>
Cc:  "ausnog at ausnog.net" <ausnog at ausnog.net>
Subject:  Re: [AusNOG] Why is peering in Australia so hard?

"True, but those small ISPs are single homed and will have quite simple
setups. Indeed a cross connect or worst case some fiber interconnect might
be relatively cheap, but peering requires talking BGP and that for a start
requires more expensive gear (lol @ megaport $500/month for 10G, cheap on
OPEX sure but a single fiber module will cost you a years worth of peering,
and a router another 5-20yrs so the CAPEX is the issue there), and then the
engineering side."

Not sure if this is an attempt at FUD or just a general lack of
understanding where 10G is in the year 2013.

10G Optics are somewhere between $100-$300 depending on vendor (fibre pair).
We also buy single fibre/bi-di  10G SFP+ for less than $500 each.  A couple
of ISP's connecting to Megaport on Test Drive didn't have any 10G gear so we
"loaned" them a Brocade switch (4x10G slots and 24x1G holes) for a grand
total cost to us of somewhere around $1,500/switch.  In fact I just ordered
another 12 of these said switches.  Regardless all these providers had 10G
on their roadmap within 6-12 months so this is a good "bridge" for them (pun
intended).

So the actual cost of the optics is so low I'll give them to any Megaport
customer because we buy them by the hundreds ­ literally.  And 10G switches
are so cheap I buy them by the dozen.  10G capable routers are less than
$10k.

Probably time to get a new price book me thinks.

[b]


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