Charles, You mentioned to not use " DE-CIX NYC pricing as a benchmark" for Dallas, but it looks like DE-CIX has priced their Dallas ports, according to their website, at the same prices at NYC: https://www.de-cix.net/products-services/pricing/#c2374 PortSpeed/GbpsMRC1GE1US$ 57510GE10US$ 1,250100GE100On request Pricing table effective from 1 August 2015. There is a special offer: *Join us now and get your 1GE or 10GE port free of charge for* - *6 months* (minimum contract term of 12 months) or - *12 months* (minimum contract term of 36 months). https://www.de-cix.net/products-services/pricing/#c2374 So it seems that their 10G port price, after promo, is $1250, and it does not mention cross connect would be included. Compare this to Equinix's 10G port with a cross connect included at $1000 per month. Considering Equinix's cross connects are usually $350 per month, this means Equinix's actual 10G port really cost $650 per month. So, I will ask the question again, why are providers going to jump and use DE-CIX over Equinix's peering exchange? I am failing to see the benefit. I thought it would be price, but apparently not. On Wed, Jul 22, 2015 at 9:25 AM, Charles Gucker <cgucker@onesc.net> wrote:
On Wed, Jul 22, 2015 at 9:48 AM, Colton Conor <colton.conor@gmail.com> wrote:
What are the main difference between these two peering companies, exchanges, and overall operating model? The market in question would be Dallas Texas where Equinix already has the only established peering exchange with over 100 members, and DE-CIX just announced today that that would also be building one in Dallas. It will take time for DE-CIX to establish their exchange in Dallas and get members, but they better question is why would people switch?
In short, Equinix is by far and large a data center operator and the Internet exchange is an add-on service only available within their data center locations. DE-CIX is an exchange point operator who operates in multiple dis-parent data center locations.
For a 10G port with a cross connect to the exchange included Equinix charges $1000 per month. According to DE-CIX it looks like they charge $1250 per month for a 10G port in NYC, so I asusme the same would be true in Dallas. https://nyc.de-cix.net/products-services/pricing/
I would not use DE-CIX NYC pricing as a benchmark. As DE-CIX learned, NYC is a very difficult market to get connectivity and to build an exchange in. As such their operating costs are a lot higher than in other markets and I don't believe it would be a good assumption to use NYC based pricing in Dallas. But keep in mind, DE-CIX likes to distribute their network access nodes to get a larger audience than within ones own facility.
Also, I would suggest looking at the big picture and the cost of colocation services in a facility other than Equinix to "level the playing field".
Looks like DE-CIX will offer a promo to entice new members to join, and their exchange will be in the carrier neatural meet me room operated by the infomart that will have little to no cross connect fees.
Why would people pay more to connect to an exchange with less members? What is the european exchange that is a non-profit and basically only covers the cost of operating the exchange?
As stated above, when looking at the big picture, it may or may not be more expensive when all of your other services are considered.
It should be said that I don't have any axe to grind and think very highly of Equinix. But with respect to Dallas, I would suggest looking at bigger picture and see if your assumptions still hold true.
charles