Cost of transit and options in APAC

Christopher Hart christopher.p.hart at gmail.com
Wed Aug 11 15:50:12 CDT 2010


"...the cost of captial, and regulatory or monopoloy capture than it does
with
some artifical lack of price equilibrium."

now that sounds like fodder for a different list ;)

On Wed, Aug 11, 2010 at 12:53 PM, Joel Jaeggli <joelja at bogus.com> wrote:

> On 8/11/10 12:29 PM, Franck Martin wrote:
> > Nice to see this change....
> >
> > APAC has been obliged to pay the cost to peer with the US (long
> > distance links are expensive). Now that US wants to peer with Asia,
> > pricing may become more balanced...
>
> I think the question is more like why am I being quoted $100 A megabit
> in India for transit in India? Not why am I being charged for for the
> transport cost across the pacific.
>
> The answer has more to do with the maturity of comms infrastructure, the
> cost of captial, and regulatory or monopoloy capture than it does with
> some artifical lack of price equilibrium.
>
> > ----- Original Message ----- From: "David Ulevitch"
> > <david at ulevitch.com> To: nanog at merit.edu Sent: Thursday, 12 August,
> > 2010 7:00:12 AM Subject: Cost of transit and options in APAC
> >
> > Hi Nanog,
> >
> > As we extend our reach into Asia, we're finding that our typical
> > carriers (see: upstreams of AS36692) who provide service to us in
> > North America and Europe are not able to offer us service in Asia
> > either (1) at all or (2) at prices remotely resembling our pricing
> > in NA and EU.  For example: Level(3) simply has no presence in Asia
> > and on the pricing side, NTT, GBLX, Verizon and others' pricing is
> > many times higher than their NA and EU pricing.  In most cases, it's
> > 10 or more times higher.
> >
> > Additionally, some of the networks seem to market their network
> > based on their reach into the US, rather than their reach into actual
> > users in Asia, which is what we're looking for.
> >
> > So my question is, what are non-APAC-based networks doing as they
> > expand into Asia for transit beyond peering with whomever will peer
> > with them to get close to actual users in Asia?
> >
> > Are people using regional carriers?  Are people just paying the
> > "crazy" (compared to US pricing) bandwidth costs?  Are people doing
> > peering-only setups out there?  Any help would be useful --
> > hopefully this is on-topic for NANOG, which I think it is, since I'm
> > curious how NA operators deal with these challenges as they expand
> > into APAC.
> >
> > I'm happy to summarize responses later if there is interest.
> >
> > Thanks, David
> >
> >
>
>
>


-- 
Respectfully,
Chris Hart
Developer / System Administrator
Insuremonkey.com
2080 E. Flamingo, Suite 223
Las Vegas, NV 89119



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