[AusNOG] Netflix in AU, break up Go4, or TPG peering breakup?

[Joshua D'Alton]

It would make sense for netflix but somewhat expensive to join all those
(compared to openconnect program, or presenting at say just EQX/ASN.AU
NSW?), I detect a whiff of some interesting Netflix/MegaDirect/Megaport
partnership here, cheap for netflix and onus on the end ISPs to connect.
Not quite as big debacle or controversy as the US, halfway between in terms
of cost/effort for Netflix, perhaps?

Another company for the users is riot/LoL, and they are experiencing the
same massive growth netflix had/has, albeit riots approach seems to be to
build more and more PoPs, whereas netflix not so much. might turn out to be
more of a cloudflare than a... well not sure what another netflix is, most
companies tend to build pops? (perhaps with level3 handling all their
delivery, it made sense/didn't matter if netflix built pops? but now with
congestion issues, might have come back and bit them in the ass?)


On Sun, Jul 20, 2014 at 9:39 AM, Joseph Goldman <joe at apcs.com.au> wrote:

> I might be completely unrealistic to think this way - But I don't think
> it's a stretch for ACMA/ACCC/DBCDE (whoever can set these mandates) to
> require connection to a public IX in either Sydney, Brisbane or Melbourne.
>
> Government stance - it makes sense for the betterment of afford-ability of
> internet in the country. It's hard to subsidise last mile - so any savings
> that can be made further up the chain is big winner for any size ISP's.
>
> Would the loss of income to the big guys who don't peer, being forced to
> peer, be that significant?
>
> I may be just dreaming - but it'd be nice.
>
> On topic to your point, I would think it would make sense for Netflix to
> join public IX - they seem to be adamant they are 'for the users' so I
> don't see them shutting people out and having the debacle of controversy
> like they do in the US.
>
>
> On 20/07/14 09:28, Joshua D'Alton wrote:
>
>> Morning Noggers,
>>
>> I've been mulling over the possibility netflix comes to AU, and what
>> that might mean especially re breaking up the Go4 closed peering.
>>
>> Firstly, if netflix just does local cache with the top ISPs by
>> volume/subscribers-who-will-use-netflix, then looking at the players,
>> listed roughly based on traffic and including significant/interesting
>> players, we can probably assume:
>> BigPond - definitely yes
>> Optus - yes
>> TPG - yes
>> iiNet - yes
>>
>> Eftel/M2/Dodo - yes
>> Vocus - yes
>> Exetel - probably yes
>>
>> If netflix were to come in themselves just to say Sydney, and notch up
>> an agreement with Telstra (who will likely give it, 40Gbit domestic
>> traffic < 40Gbit on SX), then it could be that Telstra would be the sole
>> upstream for AU much like is the situation in US with basically only
>> Cogent or Level3 previously.
>>
>> For breaking things up, obviously this would be bad, as Telstra will be
>> wanting to bring home the bacon with all their downstreams (of which,
>> iinet eftel etc would probably then just do their own cache of some
>> sorts, even without the netflix program). Presumably not much would
>> change with Go4, although this might give Telstra enough ammunition to
>> actually break the Go4 and become the sole Gang of one (a very scary
>> thought, esp with the recent NBN/Telstra developments), not that ACCC
>> would allow that, but...
>>
>> But what if netflix came in with a non-Go4... either iinet eftel vocus
>> etc, be it just sydney pops or the capitals, all of the non-Go4 would
>> have cheap access via peering, and the Go4 would potentially be cut out
>> if said non-Go4 didn't announce netflix to those upstreams.. would this
>> break the Go4?
>>
>> Or what if TPG were to avail themselves of a cheap peering product, one
>> that would give anyone (wholesalers?) access to the other 2(3) Go4,
>> would they become the Cogent of AU with Telstra/Optus refusing to
>> upgrade ports at capacity (not currently, but if..)?
>>
>> Interesting thoughts, I'd be interested in seeing what others have
>> mulled, if they have, or what conclusions people have come across in
>> this or similar thoughts?
>>
>> Enjoy!
>>
>>
>>
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