RE: Backbone IP network Economics - peering and transit

Patrick W.Gilmore wrote: Unless they have cheap access to a free NAP (TorIX, SIX, etc.), transit, even at higher prices, is probably be the best / cheapest way to reach the Internet.

This is true, but there are plenty of other opportunities for peering, such as: both parties buy DS-3 class transit from the same tier-2 or even maybe tier-3 provider in a colo (which will likely be a BFM, other problem) not a formal IX. In other words, peering in an IX does cost money, but peering at a colo might not, as these messy colos are mostly unmanaged and nobody cares about that 25ft cross-over cable :-) Michel.