APRICOT 2007 Peering Tutorial Instructor William B Norton

APRICOT 2007 Peering Tutorial Instructor: William B. Norton Co-Founder & Chief Technical Liaison Equinix, Inc. wbn@equinix. com Orchid Room Bali, Indonesia

Agenda • 9: 15 – 10: 30 Introduction to Peering – Definitions, Applying the definitions – Motivations to peer or not • 10: 30 -11: 00 Break • 11: 00 -12: 30 Peering Simulation Game

Internet Researcher • • • EQIX: Carrier Neutral Colocation 90% Externally Focuses Observe: documentation on HW&Protocols Lack of Operations documentation Research How does Peering work? White paper process. .

Community Operations Research • Ground Truth w/dozens of experts • Write White Paper v 0. 1 • Walk community through WP for comments • Revise White Paper into new version • Present White Paper at conferences • Solicit comments over lunches and dinners White papers so far…

Internet Operations White Papers 1) 2) 3) 4) 5) 6) “Interconnection Strategies for ISPs” “Internet Service Providers and Peering” “A Business Case for Peering” “The Art of Peering: The Peering Playbook” “The Peering Simulation Game” “Do ATM-based Internet Exchanges Make Sense Anymore? ” 7) “Evolution of the U. S. Peering Ecosystem” 8) “The Asia Pacific Internet Peering Guidebook” 9) “The Folly of Peering Traffic Ratios? ” 10) “Internet Video: The Next Wave of Disruption” Freely available. See Web site or send e-mail to wbn@equinix. com Start at the most basic definitions

Definitions of Peering Take Notes

The Internet is a Network of Networks. Def: Transit An ISP sells access to the Internet, so… …must itself get attached to someone who is already attached to the Internet. 1) Transit Provider sells metered access to the Global Internet Transit Provider A $ meter Transit Provider B

2) Peering is a business relationship whereby two companies RECIPRICALLY exchange Def: Peering access to each others customers. Why Peer? 1. Reduce Transit Costs 2. Lower Latency 3. More Control over Traffic Peering Transit Provider A Transit Provider B

What is this Internet Peering Ecosystem anyway? Global Internet Peering Ecosystem JP Internet Region AU Internet Region US Internet Region Tier 1 ISPs Tier 2 ISPs Content Providers Characteristics of these Ecosystem Organisms?

Ecosystem Member: Tier 1 ISP P Tier 1 ISP $ … $ T T P Def: A Tier 1 ISP is an ISP that has access to the ENTIRE Internet Region Routing Table Solely via Peering Relationships (Doesn’t buy transit from anyone to reach any destination in the Internet Region. ) Motivation: Is NOT motivated to Peer in region to reduce transit fees, Is NOT motivated to peer with anybody else. Behavior: “Restrictive” Peering Policy

$ $ T … T Ecosystem Member: Tier 2 ISP P Def: A Tier 2 ISP is an ISP that has to purchase Transit to access some part of the Internet Region. $ … $ T T Motivation: Is motivated to Peer in region to reduce transit fees. Behavior: “Open” Peering or “Selective” Peering Policy Active in Peering Forums

$ $ T … T Content Providers Def: A Content Provider focuses on Content Provider content development and does not Sell access to the Internet. Motivation: SLAs w/well known ISP Behavior: “No Peering” Policy

Generic Peering Ecosystem Tier 1 ISPs $ flow up T T T T Tier 2 ISPs TTT Active Peering Groups Peering Forums IX Meetings Content Providers

Quiz • Draw: Tier 1 ISP X – Piece of paper 1) Definition of Transit: ________ 2) Definition of Peering: ________ P Tier 1 ISP Y $ T T $ Tier 2 ISP B Tier 2 ISP A T $ Content Provider C 3) Definition of an “Open” Peering Policy: ___________ 4) Definition of a “Selective” Peering Policy: ___________ 5) Definition of a “Restrictive” Peering Policy: __________

Apply Defs: Peering Dynamics & Motivations Tier 1 ISP X $ T P Tier 1 ISP Y $ P? T No, like $. Tier 2 ISP T No, I already hear your routes for FREE! $ P? No, like $, & I Like customer B Content Provider Synch Point: You have all the defs needed to predict behavior in the Peering Ecosystem. You should be able to answer the question at hand.

Why Telstra Won’t Peer in Australia?

Why Telstra Won’t Peer in Australia? That’s right. They don’t have to.

Why Telstra Won’t Peer in Australia? They don’t have to. And, No different from other Tier 1’s in the world Let’s look at the evolution of another Peering Ecosystem…

T 1 ISPs U. S. Evolution #1 Cable Companies Peer Significant Evolution… T 2 ISPs Content 1) Volume of traffic is huge 2) Cable Cos Open Peering 3) “Kazaa Effect” amplifies 4) peering benefits

U. S. Evolution #2 T 1 ISPs Large Scale Content Players Peer Significant Evolution… T 2 ISPs Content 1) 2) 3) 4) 5) 6) Volume of traffic is huge Content is Open Peering Improves End-User Experience 4) Leading Players are paving the way 7) …need to move out of 8) Bankrupt colo anyway…

U. S. Evolution #3 Cable Cos Peer w/Large Scale Content Players T 1 ISPs Significant Evolution… T 2 ISPs Content 1) 2) 3) 4) 5) Volume of traffic pulled away from T 1 s is huge 2) Reduces perceived need for T 1 s (for local delivery anyway 3) T 1 s still needed for distance 6) Content Literally right on th 7) Cable Company Network

The Process of Peering

Peering Decision Tree: 3 Phases of Peering Agreed on Terminology Then the Interviews with Peering Coordinators and the 3 Phases of Peering: 1) Identification or Potential Peer – the who 2) Initial Contact and Qualification – the why 3) Implementation Discussions – the how

What does Internet Transit Cost? Motivations

• Why Peer? Motivations for Peering Transit service Financial: Reduce load on expensive • Traffic src/dest • Measure vs Intuit • Usage-based Billing • Engineering: Lower latency ISP A Seek transport Interconnection $ • 1 st Stage of Peering: • Top 10 destination ISP list x Transit $$$ Transit ISP B Transit $$$ Top 10 list

Sample Top 10 Destination List Def: Peering

I. Phase 1: Identification of Peer: Traffic Engineering Data Collection and Analysis • Reduce load on expensive Transit service Transit $$ • Traffic src/dest ISP A • Measure or Intuit Seek interconnection Transit ISP B • Result Top 10 list • 2 nd Goal: Lower latency Transit $$

Phase 1: Identification of Potential Peer

II. Phase 2: Contact & Qualification, Initial Peering Discussion A) Part of broader business transaction? a) E-mail person or peering@<ispdomain>. net b) Exchange point participant list c) Tech-c/admin-c from DNS/ASN registries d) Engineering Forums NANOG, IETF, RIPE, etc. e) Trade shows: speakers and booth staff f) Target ISP sales force g) Target ISP NOC

II. Phase 2: Contact & Qualification, Initial Peering Discussion • Mutual NDA • Bi. Lateral Peering Agreement (BLPA) • Traffic Value Data shared – One basis: Peering. Cost<Transit. Savings? • Requirements Exchange – (e. g. Must be at n Public Peering Points) • Either Party may walk away…. .

Phase 2: Contact and Qualificatio n

III. Phase 3: Implementation Discussions How to interconnect? Direct Circuit-based Interconnection Vs Exchange-Based Interconnection White Paper available: “Interconnection Strategies for ISPs” Email to: <wbn@equinix. com>

Exchange-based vs. Direct Circuit Interconnection Direct Circuits Model MUX Big Pipes Model Dark Fiber Model See http: //www. nanog. org/mtg-9905/norton. html for slides

Exchange Selection Criteria Includes: • • • Telecommunications Access Issues Deployment Issues (getting in & up) ISP Current Presences (there yet? ) Operations Issues (restrictions? ) Business Issues (neutrality/alignment) Cost Issues ($$) Credibility Issue (backing, attraction) Exchange Population (side effect) Existing Exchange vs. New Exchange?

Exchange Environment Evaluation

IV. Summary • Findings from Interviews: Several phases lead to peering: 1) Identification of Potential Peers 2) Contact & Qualification 3) Implementation Discussions (Vary in rigor and policy) • 9 Selection Criteria for Exchanges (Vary in relative weighting of criteria)

Peering Decision Tree

When does Peering Make Sense Financially?

Definition of Transport Def: Transport refers to the physical/data link layer media (e. g. circuits, gig. E switching fabric, gig. E over fiber cross connects). “I’m using Level 3 for transport into the Exchange Point” --or-“I’m using Telseon gig. E for transport into the Exchange”

10 M R 100 M IX Switch R Peering versus Transit

Generalization: ISP Peering Breakeven Analysis Graphs $/Mbps Exchanged Breakeven Point (ISPs Indifferent between Peering and Transit traffic exchange) Peering Prefer Peering Risk Cost of Transit Cost of Traffic Exchange in Peering Relationship Number of Mbps exchanged

Why NOT to Peer… Already get Traffic for free (through existing peering relationships) • Personality Clashes • Traffic Inequities (“I don’t want to haul your traffic for free around the world!”) • Lack of Technical Expertise “We don’t believe you have the clue” • Transit Sales Preferred “Let me introduce you to our salesguys” • BGP is TOUGH

Questions? Peering Simulation Game is next