Why IP Peering Strategy Matters for Connectivity: Perspective of Theo Voss

Internet peering is an important part of the way Internet Service Providers (ISPs) function, however, not all ISPs peer in the same way.  In this article we’ll explore why IP peering strategy matters for end-users and what Inter.link’s approach looks like.

What is Internet Peering?

In many areas across the globe, connecting to the Internet is slow and expensive. Peering – exchanging traffic between networks – can help solve this.   

Internet peering is a connection between two IP networks that let network traffic flow from sources in either of the networks to destinations in the other without allowing traffic to flow to destinations traversing the peer—or in other words, to travel via the internet.  

There are two types of peering. One type of network peering is an interconnection facilitated by internet exchange points (IXPs), hubs of internet traffic such as LINX or BCIX which are similar to colocation data centers. This is an example of public peering, but private peering is possible too, such as the 25G PNI (Private Network Interconnect) direct connection that Inter.link set up with WOBCOM. 

Peering is configured using BGP (Border Gateway Protocol) which exchanges routing information between the routers of two network operator organizations, identified by their Autonomous System Numbers (ASNs – Inter.link’s is AS5405). The configuration of BGP on both sides of the connection determines whether the connection is a “peering” or an “internet access/transit” type of connection.

What are the benefits of internet peering?

Forming peering relationships is a critical strategy for businesses that: (1) want to reduce their cost of transit bandwidth, (2) want to reduce the complexity of their connection to a destination by connecting directly, (3) require higher network performance and improved user experience, (4) seek greater redundancy and security.   

Apart from the technical benefits of peering, it also makes it possible to collaborate within a busy community. Being connected to an internet exchange (IX) with hundreds of other businesses (such as content providers) creates an opportunity for a business to network.  

On a commercial level, this creates opportunities to share, sell or buy services from co-located networks. On a social level it can also create opportunities for knowledge sharing among a community built around common interests.

How does Inter.link Approach IP Peering?

Despite one of the top benefits of peering being more cost-effective than purchasing internet connectivity from an IP Transit provider, peering is not always the cheapest way of exchanging traffic.   

From a pricing point of view, peering can actually be more expensive than transit. Even so, peering is still a great tool to ensure the quality of a network.  
 
However, establishing peering is a crucial tool for improving the network ecosystem on a case-by-case basis, including peering with networks where it could be beneficial to have them as a transit provider or transit customer. Inter.link always considers what is best for customers where networks interconnect and peering is a big part of that.

Quality Comes First in Our Peering Strategy

Inter.link peers openly and broadly to consistently establish the best connections; this includes peering with smaller and regional networks. Most importantly, as one of the larger tier 2 carriers, Inter.link can form peering connections when the focus is quality.   

Inter.link does not need to only peer when there is a commercial reason behind it, but whenever there is a targeted network that would like to make sure traffic is flowing the shortest path and the best path, Inter.link can set up peering without being bound to traditional Tier 1 ISP rules or principals. 

So, Inter.link always peers based on whether it benefits users, optimizes performance, decreases latency, or avoids congestion at another point in the network. 

The Commercial Aspect of Peering Comes Second

Tier 1 network engineering is heavily influenced by brand marketing rather than just performance goals. The reason is that the very definition of Tier 1 ISP means they can’t buy transit from any other provider, instead only allow settlement-free peering agreements with other Tier 1s.  Our previous article explains the difference between Tier 1s and Tier 2s.  

The big Tier 1 providers talk about the commercial aspect of peering first, then when there is room after that decision or negotiation, they let quality play a role.   

This is a big differentiator for Inter.link (as a sustainable Tier 2 ISP) because its entire network is built with a focus on quality.

Who are Inter.link's Peering Partners?

• Amsterdam Internet Exchange  

• Berlin Commercial Internet Exchange  

• Swiss Internet Exchange  

• Stockholm Internet Exchange  

• Vienna Internet Exchange  

• DE-CIX (Deutscher Commercial Internet Exchange)  

• London Internet Exchange  

• Prague Internet Exchange (NIX.CZ)   

• Stuttgart Internet Exchange  

• DATAIX  

• ESPANIX  

• Frys-IX  

• Netnod Stockholm  

• NL-IX  

• Peering.cz