nanog mailing list archives

True cost of peering (was Re: Sprint peering policy)


From: Ralph Doncaster <ralph () istop com>
Date: Mon, 1 Jul 2002 21:11:15 -0400 (EDT)


  Today, it is almost a wash, and sometimes more expensive to peer that to 
just buy transit.  When you can arrange transit contracts to be as low as 
$50 a megabit, and to sit in a PAIX facility costs you $150K for the router, 
plus $7K a month for rack and power, and monthly costs for your OC-48 into 
the router...  What's the true cost of peering?

NYIIX 1/4 rack + 100M switch connection - <$1K/mth
fiber cx for Gig-E to high-bandwidth peers: $0/mth
small GSR12000 - $20K from the local bankruptcy trustee
OC192 from Manhattan to Vienna, VA: $10K/mth
SIX is also quite inexpensive.
I've been told Equinix can be talked down from ~$3K/mth for a rack/power &
a couple cx to <$1500/mth.

2 years ago you couldn't build a coast-to-coast backbone and get peering
costs < $50/mbit.  Now my rough calculations put it at ~$20/mbit if you do
it on the cheap.

-Ralph



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