[LINK] Fwd: MR46-05: Lower prices drive shift to broadband

[rchirgwin at ozemail.com.au]

Quoting Jan Whitaker <jwhit at melbpc.org.au>:

> At 10:15 AM 24/11/2005, Paul Brooks wrote:
>> hese days the incremental extra cost of the upstream backhaul
>> bandwidth is negligable. 512/64, 512/512, 256/256, 1024k/1024k, 1500/512,
>> 8Mbps/512k, whatever combination you like - as long as its ADSL they are
>> all just software limits, and cost the same to provide.
>
> Now that is interesting information. Is there something in the next 
> part of the path that affects cost re increased traffic that is a 
> basis for this pricing differential?  Is Telstra just playing games 
> again?

Jan,

Once the ISP has the traffic, it's got to send it somewhere; to do that 
you buy
"transit" from someone who has access to the big US backbones. The transit has
to be bought somewhere - either in Australia or you buy a big data pipe to
America and buy the transit there.

Please note: I have not put the whole complexities of ISP bandwidth 
purchase in
this single paragraph. Bill Norton of Equinex
(https://ecc.equinix.com/peering/why.htm) has some free white papers (follow
the "Resouurces" tab) discussing transit and peering.

RC

----------------------------------------------------------------
This message was sent using MyMail