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

[Richard A Steenbergen <ras () e-gerbil net>]

On Mon, Jul 01, 2002 at 09:11:15PM -0400, Ralph Doncaster wrote:
> >   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.

The following problems exist with your plan:

 * 10Gbps circuit to a 100Mbps peering point... Are you sure your name 
   isn't Nick Catalano?
 * What peers do you plan to find at NYIIX that you'll be doing Gbps to?
 * OC192 interfaces don't grow on trees (or even ebay yet)
 * Two peering points on the east coast won't get you squat
 * Crosscountry circuits are just a tiny bit more expensive

I'd suggest you do a little more planning before you start investing in
OC192's, but yes its certainly possible to get some good deals in today's
economy. I'm sure the people who built billion dollar networks a year or
two ago wish they could buy it now, maybe thats why they're so determined
to take everyone with them. :)

-- 
Richard A Steenbergen <ras () e-gerbil net>       http://www.e-gerbil.net/ras
PGP Key ID: 0x138EA177  (67 29 D7 BC E8 18 3E DA  B2 46 B3 D8 14 36 FE B6)