• By increas ing the richness and densit y of connections betw een Canadia n network s,

additional IXPs will increase the reliability of Internet access in Canada and its resilience to

disaster and attack.

The ﬁgure above shows alternat ive paths to connect two C anadian Internet customers. The top

option shows a short, efﬁcient, direct path via a Canadian Internet exchange point, whereas the

bottom path detours via a US ISP and Internet exchange point.

Relative to comparable international peers, Canada is well behind in its provision of IXPs.

Canada currently has two operational IXPs (in T oronto and Ottawa) and three in planning –

approximately one operational IXP per 17 million peopl e, three to thirty times fewer than other

similarly developed nations. A void of Canadian Internet strategy and policy has resulted in

Canadian Internet users inheriting U.S. policy, costs, and ﬂaws rather than enjoying an

environment deliberately crafted to Canadian beneﬁt.

The provision of IXPs is not automatic: a network, or group of networks, must step up and take

the lead in addressing the physical, managerial, and technical requirements. Moreover, the mere

presence of an IXP is not sufﬁcient to improve conditions; ISPs must actually make the effort to

use them. Indeed, as many Canadian networks peer in London, UK, as in the existing exchange

in Ottawa. Fortunately , IXPs typically cost less than $100,000 to establish, and return on

investment can be seen in as little as a few days.

This document proceeds as follows: In section 2, we present the relevant technical underpinnings

and resulting incentives. In section 3, we explore the beneﬁts of increasing the number of IXPs in

Canada. In section 4, we offer recommendations for the number, location, and structure of IXPs in

Canada. In section 5, we ﬂag possible challenges and offer speciﬁc recommendations.