Cache Logic Advanced Solutions for P 2 P

Cache. Logic Advanced Solutions for P 2 P Networks BROADCASTERS | AGGREGATORS | FILM STUDIOS | VIDEO PORTALS P 2 P Media Summit Addressing the cost and performance challenges of digital media content delivery Presentation by Andrew Parker, CTO (aparker@cachelogic. com) Presentation | P 2 P Media Summit MUSIC LABELS | SOFTWARE VENDORS | COMPUTER GAMES VENDORS

Cache. Logic Advanced Solutions for P 2 P Networks Introduction to Cache. Logic § Market leader in the provision of P 2 P management solutions to the ISP/telco sector Global Coverage and Support § P 2 P-Management § Protocol-based P 2 P recognition and on-network caching solutions § Streamsight Analysis Network § Layer-7 application layer DPI network providing Internet traffic analysis for ISPs § Veloci. X § § Hybrid peer-assisted platform for digital media delivery Large object, digital asset delivery service for content owners: film, video, broadcast, music and software vendors Commercial Overview § Headquartered in Cambridge, England, regional offices in the USA and Singapore § July 2006: closed $20 Million Series C funding round Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks P 2 P as future of distribution P 2 P has been at the forefront of the exponential growth in demand for on line digital media Cache. Logic Research Internet Protocol Breakdown 1993 - 2006 § 1999 to present: fuelled by Napster, Ka. Za. A, e. Donkey and Bit. Torrent § More than 60% of P 2 P traffic is video § Asia - 50% Objects > 2. 5 Gb !! Cache. Logic Research Breakdown of File-Types on Major P 2 P Networks - 2006 § P 2 P usage is widespread and growing § § § Continuing Impact on ISPs § § Presentation | P 2 P Media Summit 2004 – 3 million unique IP addresses in 30 days 2006 – 3 million unique IP addresses in 8 days 50 -65% of downstream traffic is P 2 P 75 -90% of Upstream Traffic is P 2 P

Cache. Logic Advanced Solutions for P 2 P Networks P 2 P is a global phenomena Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Why is P 2 P so attractive ? § Scalability MP 3 Single (e. g. i. Tunes) Typical MP 3 file size 5 MB Commercial value Existing distribution and streaming technologies penalise content owners for success! § The economics of P 2 P delivery are much closer to broadcast economics $1. 00 Value/data density § $0. 20 per MB/ $200 per GB DVD - 5 Mbps x 90 minutes 3. 5 GB Rental Model: Commercial value ~ $3. 50 Value/data density $1 per GB Purchase Model: Commercial value: $16. 00 Value/data density $4. 57 per GB § Decreasing Revenue per GB § § Big disparity between Audio and Video § HD will make this problem even worse i. Tunes § $1. 00 (5 Mb Audio) § $1. 79 (500 Mb Video) Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Sounds Great…. But Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Today’s Internet is not Designed for Symmetric Traffic § The Internet has been built on the premise of core-toedge distribution § High Capacity Data Centres, Large Core, Asymmetric Small Edge § Cost and performance optimised by Peering and Private interconnects with content § P 2 P places the burden of content distribution on the access network Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Broadband Access Network Design - DSL § ADSL and Cable modem were designed for asymmetric traffic § Web § VOD § ADSL § Download <7 Mbps § Upload < 800 kbps § 11: 1 § ADSL 2+ § Download <24 Mbps § Upload < 1 Mbps § 24: 1 § Asymmetry is increasing Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Impact of P 2 P on Service Providers – Transit/Peering § 50 -65% of downstream traffic is P 2 P § P 2 P is expensive bandwidth § In most countries 90% of P 2 P traffic crosses international boundaries § P 2 P applications aggressively consume all available bandwidth Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Impact of P 2 P on Service Providers – Access § P 2 P is inherently symmetrical § Most traditional protocols are download orientated (e. g. web) § This makes Peer-to-Peer a huge problem for last mile providers § Responsible for 75 -90% of upstream/last mile traffic on the network. § But … I thought P 2 P was making efficient use of “underutilised” upstream capacity in the network Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Veloci. X: introduction BROADCASTERS | AGGREGATORS | FILM STUDIOS | VIDEO PORTALS |MUSIC LABELS | SOFTWARE VENDORS | COMPUTER GAMES VENDORS World’s first multi-protocol peer-assisted media delivery platform - creating an environment for secure, scalable and cost effective media distribution to mass and niche markets § Economic benefits and scalability of P 2 P § Resilience, accountability and efficiency of a physical delivery network § Veloci. X Performance Statistics: Comparison of content download times pure P 2 P vs. Veloci. X peer-assisted delivery Resolves ISP Neutrality § Key Benefits: § High-speed delivery § Mass audience scalability § Cost-effective large object distribution Presentation | P 2 P Media Summit Parameters: 60 minutes television programme (sample 1 - encoded at 1 Mbps and sample 2 – encoded at 2 Mbps) downloaded over a 10 Mbps connection

Cache. Logic Advanced Solutions for P 2 P Networks Cache. Logic, NTL, Bit. Torrent Presentation | P 2 P Media Summit

How it Works Content P 2 P Server Legitimate content provided by the service is placed on the Servers Tracker The Tracker works as normal to find Peers that can support the download Server Look Up If it is legitimate content, a cache is added into the Peer group.

The Results of the Trial content: Film H comment: Unbelievable speed! 18 mins for a 1. 2 Gb file. Awesome! content: Episode 3 comment: 350 mb in 5 mins! epic! content: Episode 2 comment: 350 mb in 7 mins!!!!? ? awesome!!! • Trialists on a 10 MB/s service saw a x 14 average increase • Trialists on a 2 Mb/s service saw a x 9 average increase • Trialists on a 1 Mb/s service saw a x 6 average increase It works! No longer upload constrained (& less upstream traffic)

Cache. Logic Advanced Solutions for P 2 P Networks Summary § Economics for existing content distribution are broken, and will get worse as content continues to grow. § P 2 P can resolve the economic challenges, but is transferring the burden of the cost elsewhere…. The ISP § The ISPs interests can also be balanced, ala NTL § § Reduced costs Increased legal content to drive network usage and stop ISPs becoming commoditised bit-pipes Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Thank You! Presentation | P 2 P Media Summit

Cache. Logic Advanced Solutions for P 2 P Networks Traditional Content Delivery vs. P 2 P Consumer Access Backbone Host Content Flows like this But in a P 2 P world it flows like this Presentation | P 2 P Media Summit