Google Fiber: These New Paid Interconnection Deals Aren't Needed On one hand, you have companies like Netflix, Level 3, and countless consumer advocates and analysts, who say that the industry's largest ISPs are letting their peering links to middle men like Cogent and Level 3 saturate intentionally, forcing content companies into increasingly expensive and anti-competitive direct paid interconnection deals with ISPs.

On the other hand, you've got the nation's biggest ISPs and a few analysts proclaiming this is all business as usual and there's "nothing to see here." What does Google Fiber think about things? In a new Google Fiber team blog post, the company says they don't need to charge content companies for interconnection because they don't need to, and because what Google has found is truly industry "business as usual" involves a little give and take that benefits everyone in the chain: quote: We give companies like Netflix and Akamai free access to space and power in our facilities and they provide their own content servers. We don’t make money from peering or colocation; since people usually only stream one video at a time, video traffic doesn’t bog down or change the way we manage our network in any meaningful way — so why not help enable it? You'll note that's an immeasurably different tale from what incumbent ISPs and quote: As we all know, there is no free lunch, and there’s also no cost-free delivery of streaming movies. Someone has to pay that cost. Mr. Hastings’ arrogant proposition is that everyone else should pay but Netflix. That may be a nice deal if he can get it. But it’s not how the Internet, or telecommunication for that matter, has ever worked. Of course that "everyone else should pay but Netflix," is not something Netflix, or any other content company, has ever argued. Everyone pays. Often quite a lot, for peering, interconnect, transit, last mile and everything in between. There's no shortage of companies getting paid handsomely for our voracious Netflix viewing habits. You'll note that's an immeasurably different tale from what incumbent ISPs and analysts like Dan Rayburn are claiming. For example, compare Google Fiber's explanation with that of AT&T , who claims Netflix is trying to get a "free ride," even if everybody along the chain pays a significant amount for bandwidth and transit already, and paying AT&T customers are the ones requesting and paying for the content. From an AT&T blog post last March Of course that "everyone else should pay but Netflix," is not something Netflix, or any other content company, has ever argued. Everyone pays. Often quite a lot, for peering, interconnect, transit, last mile and everything in between. There's no shortage of companies getting paid handsomely for our voracious Netflix viewing habits. Now note the contrast in AT&T's explanation of the streaming content ecosystem with that of Google Fiber director of network engineering Jeffrey Burgan. Burgan points out how free colocation and interconnection (joining Netflix's free Open Connect CDN, for example) is just common sense and good business for everybody in the chain: quote: But we also don’t charge because it’s really a win-win-win situation. It’s good for content providers because they can deliver really high-quality streaming video to their customers. For example, because Netflix colocated their servers along our network, their customers can access full 1080p HD and, for those who own a 4K TV, Netflix in Ultra HD 4K. It’s good for us because it saves us money (it’s easier to transport video traffic from a local server than it is to transport it thousands of miles). But most importantly, we do this because it gives Fiber users the fastest, most direct route to their content. That way, you can access your favorite shows faster. All-in-all, these arrangements help you experience the best access to content on the Internet — which is the whole point of getting Fiber to begin with! Again, that's contrasted with AT&T, Verizon and Comcast, who want the public to believe that abusing the uncompetitive last mile market in order to hit content companies up for additional money via direct interconnection fees is "how things have always worked." While Google has an obvious agenda as one of the largest content and video distributors on the Internet, Google Fiber's argument that free cooperation has benefits isn't much different from that of other disruptive Again, that's contrasted with AT&T, Verizon and Comcast, who want the public to believe that abusing the uncompetitive last mile market in order to hit content companies up for additional money via direct interconnection fees is "how things have always worked." While Google has an obvious agenda as one of the largest content and video distributors on the Internet, Google Fiber's argument that free cooperation has benefits isn't much different from that of other disruptive broadband providers like Sonic.net .Most people, if they've followed AT&T's efforts to impose unreasonable tolls on content at every possible opportunity for most of the last decade (an effort that truly was the catalyst for the modern net neutrality debate), should have a general idea which side of the aisle the truth falls on with this issue.







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Most recommended from 265 comments

openbox9

Premium Member

join:2004-01-26

71144 5 recommendations openbox9 Premium Member Can I host said by Google Fiber Blog : We give companies like Netflix and Akamai free access to space and power in our facilities and they provide their own content servers. Can I colocate a bunch of racks of equipment in various Google datacenters at no cost to me?

atuarre

Here come the drums

Premium Member

join:2004-02-14

EC/SETX SWLA 2 recommendations atuarre Premium Member RE I still say Ed Whittacre started all this crap with his "pipes" statement. No turning back now.