nanog mailing list archives

Re: Non-profit IX vs. neutral for-profit IX


From: Tim Raphael <raphael.timothy () gmail com>
Date: Fri, 21 Dec 2018 10:39:42 +0800

The other point to consider is that a NFP can justify more locations and offer services (such as extended reach) that 
don’t have the same profit margins or ROI as for-profits.
This often leads to greater value to those with smaller networks and fewer customers allowing them to grow and expand 
without increased aggregation or transit costs. This in-turn leads to a richer array of providers and chips away at the 
monopolies in niche markets.

The NFP IXP I work for focuses on providing value to the broader community and the Internet as a whole - especially 
somewhere like Australia which has unique constraints.

Additionally, “Neutral” and For-Profit doesn’t always compute in my mind, there will always be commercial alliances 
that lead to not-total neutrality.
When a NFP is owned by it’s members there has to be 100% transparency in organisational decisions around member funds 
and resources which ensures accountability reliability.

- Tim


On 21 Dec 2018, at 3:58 am, Brielle Bruns <bruns () 2mbit com> wrote:

On 12/20/2018 12:51 PM, Aaron wrote:
Probably price.  Also perception of value.  If you're a for profit enterprise then they're paying for 
interconnection plus your bump.  If you're non-profit the perception is that there is a larger value because there's 
no bump.  Whether that's true or not, who knows but that's the perception I've heard.

Depending on the size of the non-profit, I'd almost compare it to how the hospitals are here in Boise.

The non-profits are oversized, monopolistic, price gouging, etc.  Their care can be pretty meh, esp since they bought 
up all the little independent clinics (yay, ER pricing for a basic family clinic visit).

The for-profit smaller clinics and hospitals run a pretty tight ship, better value for their money, service is very 
good, and compete with one another for who has the best service.

People think they are getting 'better' because they are going to a place that is supposed to be run to benefit people 
over profit, but alas, you'd be very very wrong.
-- 
Brielle Bruns
The Summit Open Source Development Group
http://www.sosdg.org    /     http://www.ahbl.org




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