Re: Industry practice for BGP costs - one time or fixed/monthly?

[Matthew Palmer <mpalmer () hezmatt org>]

On Fri, May 25, 2012 at 09:31:11PM +0530, Anurag Bhatia wrote:
> I have been aggressively looking for deals in servers in Europe for
> anycasting. One thing which surprises me is the "setup costs" for BGP. Few
> providers quoted additional $50-100 which looks OK but a few of them quoted
> as high as $150 *extra every month* just for having BGP (no full routing
> table, but just default route pointing). Is there's any technical logic
> behind such heavy costs? I mean at the end of day we are all talking at
> layer 3 and thus it does not involves any hard connection/physical work.
> What other members pay for BGP setup costs?

We pay what our providers think they can get away with.  Like most pricing
decisions, they're not based on any "technical logic", they're based on what
the market will bear.  Feel free to turn the process around -- decide what
the service is worth to you, tell the provider of the service that price,
and let them decide if they want to provide it to you at that price.  Don't
be too surprised if you get monkeys in exchange for your peanuts, though.

- Matt