A Scottish Internet Exchange:A Scottish Internet Exchange: Benefits, Viability, Options Benefits, Viability, Options

Keith MitchellExecutive Chairman

London Internet Exchange LtdDirector, NOMINETChair, RIPE NCC

http://www.linx.net/

Jargon BusterJargon Buster

• IXP = Internet Exchange Point• NAP= Network Access Point• MAE= Metro Area Ethernetsame things

• ISP = Internet Service Provider

OverviewOverview

• What is anInternet Exchange Point ?

• What are the benefits ?• Introduction to the LINX• What is co-location ?• When is it viable ?• What are the options for Scotland ?

HistoryHistory

• 3 UK Internet Providers in 1992• First IXP in US (“MAE-East”) in 1992• Soon after in:

• Stockholm, Amsterdam, Geneva

• LINX founded in October 1994 by 5 members

• now >150 UK ISPs in 1998 • >50 with direct international connections

What is an IXP ?What is an IXP ?

• A network, usually in one building• Multiple ISPs connect the “edge”

of their backbone to it• Facilitates traffic exchange (or

peering) between ISPs• Peering involves exchange of

customer traffic only• without going via distant 3rd parties

IXP TechnologiesIXP Technologies• LAN based

• needs backbone node co-location• e.g. Fast Ethernet, FDDI• most IXPs work this way

• WAN based• avoids need for co-lo• dependent on single telco• e.g. Frame Relay, SMDS, ATM• few IXPs work this way

IXP ModelsIXP Models• Owned & operated by telecoms

carrier• most ISPs = carriers• common in US, e.g. MAEs, NAPs• not good for competition

• Neutral member co-operative• common in Europe, e.g. LINX

• Owned & operated by co-lo provider • e.g. Palo Alto IX

What are Benefits of IXPs ?What are Benefits of IXPs ?

• Avoid traffic going the long way round

• Cheaper local bandwidth• Faster local access• One connection to many simpler &

cheaper than many to each

IXP Benefits (1)IXP Benefits (1)

• Keeps local traffic local:• UK traffic within UK• European traffic in Europe

• Improves resilience• They work:

• Even small countries have IXPs• Latvia, Luxembourg, Portugal

IXP Benefits (2)IXP Benefits (2)• Attract & consolidate infrastructure• Generate local business:

• telecoms• co-location• content (export)• e-commerce (export)

• Promote fair competition• Co-ordinate engineering

LINX StatusLINX Status

• Established Oct 94 by 5 member ISPs• Now 57 members

• steady linear growth• about 1 new member every month• UK, European, International members

• Not-for-profit association of ISPs• Neutral locations in London Docklands

• Telehouse• TeleCity

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Members Applications

LINX MembersLINX MembersAT & T Frontier Technology OleaneANS UK GlobalCenter OnyxAtlas GlobalOne Planet OnlineBT Internet Services Graphnet PSI UKCable & Wireless GTS (Sovam) RedNetTeleWest (Cable Internet) GX Networks (Xara) QUZACarrier1 HighwayOne TechnocomCerbernet IBM Global Network Tele DanmarkClaranet ICL (ECRC) TeleglobeCOLT INSnet TeliaCompuserve IPf U-Net InternetDemon Internet Services Ireland Online UUNET UKDeutsche Telekom mediaWays UKERNA (JANET)

Direct Connection Mistral VASnetEasynet Nacamar VBCnetEsat Net NETCOM WireHub!

EuroNet NetKonect Wisper BandwidthExodus Nildram XTMLFreedom 2 Surf NTL Internet Zoo Corporation

LINX ObjectivesLINX Objectives• Primary Objective:

“To provide efficient interconnectivity for the UK Internet”

• Realise this by aiming to keep 100% of UK Internet traffic in the UK

• Secondary Objective:

“To promote the interests of its members”• Latter is only done on specific issues, and where

there is formal approval of a major consensus among members.

LINX OrganisationLINX Organisation

• Public company limited by guarantee• Membership meetings every 2 months

• determine policy and strategy• Membership appoints Council of 6 at

AGM• Full-time Executive Chairman• Office in Peterborough,

Cambridgeshire• 7+ FTE staff

Co-Location FacilitiesCo-Location Facilities

• Computer “Hotels”• Sell (by the rack):

• space• protected electricity• air conditioning• security• telecoms bearers• disaster recovery• value-added services

TelehouseTelehouse• Located in London Docklands

• on meridian line at 0º longitude !• Built as disaster recovery centre• 24x7 manned, controlled access• Highly resilient infrastructure• Diverse fibre from most UK carriers• Diverse power from national grid, multiple

generators• Owned by consortium:

• KDD, Japanese banks, BT

Co-Lo and IXPsCo-Lo and IXPs• Natural synergy• competitive market in one place

• e.g. for content providers• ISPs need good backbone node

sites • e.g.

• Telehouse, TeleCity, Palo Alto IX• Help create critical mass of

Internet, E-commerce business

When is an IXP viable ?When is an IXP viable ?

• Mainly telecoms traffic economics• high cost of international circuits

• Need 3-5 ISPs with about 2Mbps of local traffic each

• local traffic typically about 30% of total traffic

• i.e. about E3 = ~34Mbps total traffic into IXP coverage area

IXP ViabilityIXP Viability• IXPs almost always save money• Can build cheaply with:

• £200 hub• £1500 routers• one rack

• But better to re-invest savings• Costs extra network complexity

staff skills

IXP Viability - IXP Viability - Unseen ElementsUnseen Elements

• IXP and co-lo business may be viable together if not separately

• Performance & cost benefits to all local Internet users

• Out-of-region players may pay to connect to local market• international fibre ?

• Other uses for infrastructure• e.g. disaster recovery, call centres

IXP Options for Scotland (1)IXP Options for Scotland (1)

Neutral member co-operative• Need most of major ISP/telco

players to participate• Set up not-for-profit member-

owned IXP organisation• Put tender out for neutral fixed

term contract co-location of IXP• commercial co-lo provider

IXP Options for Scotland (2)IXP Options for Scotland (2)

Combined Commercial Co-lo & IXP• Less good for competition2nd choice• More viable if lacking some major

players• Will need significant investment

up-front

Future of IXPsFuture of IXPs

• Major growth area• International telecomms deregulation

should reduce need for national IXPs (but not soon)

• Small number of major pan-European Exchanges

• Internet traffic growth will increase need for regional/metropolitan Exchanges

SummarySummary

• IXPs save money and grow business & infrastructure

• Model proven in many other countries

• We don’t know if one is viable in Scotland

but having one will greatly benefit local Internet industry