1. NWEN 402 – Peering & Exchange T2 2015 With material from Geoff Huston, Andy Linton & Valerie Schaeffer

2. Outline Connecting the big players of the Internet What we want it to look like and what it actually looks like The problem The solution NWEN4021

3. Interconnection An overview of how ISPs interact to form today’s Internet

4. The Sum of Many Parts The Internet is the sum of more than 30,000 component service providers (ISPs) Each ISP has its own network with services, tariffs, customers, policies.

5. The Well-Ordered Internet This view is based on a conventional distribution infrastructure Every relationship is bilateral –a provider sells services to a consumer Tiering of the ISP sector –Tier 1 - global backbone transit networks –Tier 2 - national wholesale transit networks –Tier 3 - local retail access ISPs

6. The Well-Ordered Internet Client Provider Local ISP Regional ISP National ISP Transit ISP Local ISP Transit ISP National ISP Regional ISP The resultant structure is a hierarchy of relationships

7. The Internet - as we know it The competitive ISP industry tends to equilibrate on the lowest local cost structures There are no objective criteria to identify who is the provider and who is the customer Debt is better than profit as a means of leverage of ISP value –there are fewer ways of establishing true value underlying carriage tariffs shape Internet-based ‘locality’ Within each local tier cell ISPs tend to SKA peer - or not –bluff is a critical component of the peering game Strict tiering blurs because of the confusion over value identification –is content of equal value to transit?

8. The Internet - as we know it Exchange ISP Client Net

9. The Problem - as we see it how to interconnect many thousands of component networks while: minimizing local cost everywhere by: –localizing transit traffic –matching diverse import, export and transit policies –avoiding super dense traffic black holes –maintaining stability and quality –both technical and financial and also adding thousands more component networks

10. The Role of the Exchange An examination of the rationale for public Internet exchanges. https://www.youtube.com/watch?v=cpAUed hcjAY&feature=plcp

11. The N-squared problem –N 2 circuits, N 2 peerings –questionable scaling properties

12. The Exchange Router Too simple Router-based exchanges impose transit policy A Exchange Router selects preferred path to destination A

13. The Exchange Switch Exchange LAN Switch

14. A Route Peer Mesh Bilateral peering allows each ISP to select preferred path to destination A The Exchange L2 Switch –An L2 switch does not implement routing policy –Routing policy is then the outcome of bilateral agreements

15. The Distributed Exchange Switching Mesh Peering Virtual Circuits Use of L2 virtual circuits to support bilateral peering eliminates the need for co-location

16. Adding Value to the Exchange exchanges represent a very efficient centralized service launch point Usenet Server DNS Server Web Hosting Services Multicast Router Route Server Service Environment Web Cache Server

17. Economics of an exchange Nicholas Economides “The economics of the Internet Backbone”, Law & Economics Research Paper Series, June 2005. Cremer Jacques, Patrick Rey & Jean Tirole “Connectivity in the Commercial Internet” Journal of Industrial Economics, 2000. https://www.youtube.com/watch?v=tR1sLLOYxnY 16

18. Bring the rain Software Defined Exchange NWEN40217 Gupta, Arpit, Laurent Vanbever et al.. "SDX: A software defined internet exchange." In Proceedings of the 2014 ACM conference on SIGCOMM, pp. 551-562. ACM, 2014. Economides, Nicholas. "The economics of the Internet backbone." NYU, Law and Economics Research Paper 04-033 (2005): 04-23. D’Ignazio, Alessio, and Emanuele Giovannetti. "Predicting internet commercial connectivity wars: The impact of trust and operators’ asymmetry." International Journal of Forecasting (2015).

19. Motivation for rethinking IXP List three points. NWEN40218