Re: interconnection costs

On 23 Dec 2015 20:06, "Reza Motamedi" <motamedi@cs.uoregon.edu> wrote:

All the costs of HW, SW, personnel, administration, and perhaps

transmission between colos (including remote peering, being waved to another location, tethering) would be the same, right? Usually yes but with transit you are paying for global connectivity/reachability, for an extreme comparison, I only need to exchange 50mbps of data with Facebook before they will peering with me (last time I checked), I'm not going to put a 100Mbps link into a port that can do 10G. So a direct transit feed is more commercially viable for me as a consumer than private or public peering unless a particular business demand can cover the cost risk of peering. James.