Cost per prefix [was: request for help w/ ATT and terminology]

From: Patrick W. Gilmore (no email)
Date: Sat Jan 19 2008 - 23:43:46 EST

  • Next message: Patrick W. Gilmore: "Re: An Attempt at Economically Rational Pricing: Time Warner Trial"

    On Jan 19, 2008, at 12:55 PM, William Herrin wrote:
    > On Jan 19, 2008 11:48 AM, Andy Davidson <> wrote:
    >> There's some debate in RIPE land right now that discusses, "what
    >> actually is the automatic, free, right to PI" ? Every other network
    >> in the world pays the cost when someone single homes but wants
    >> their /
    >> 24 prefix on everyone else's router. If one had to pay a registry
    >> for PI, then small networks would have to think about the negative
    >> externalities of their decision to deploy using PI.

    > There was some related work on ARIN PPML last year. The rough numbers
    > suggested that the attributable economic cost of one IPv4 prefix in
    > the DFZ (whether PI, PA or TE) was then in the neighborhood of $8000
    > USD per year.

    I haven't seen that work, but I am guessing this number is an
    aggregate (i.e. every cost to everyone on the 'Net combined), not per-
    network? See, I'm just looking at that TWO BILLION DOLLARS PER YEAR
    number and thinking to myself, "um, yeah, right". :)

    So, given that there are 27206 ASes in the table (latest CIDR report),
    that means it costs each AS, on average, less than $0.30/year to
    accept a prefix. I'm thinking that billing each new network with its
    own prefix would cost more than $0.30/recipient.

    Let's make it easy. Let's say only 8K ASNs actually take a full
    table. (Rest have partial tables or two defaults or something.) So
    each network needs $1/year per prefix. I still think the billing
    infrastructure would cost more than the bill itself.

    But then, the telcos have been in that situation for a century. Why
    shouldn't the Internet follow in their footsteps?

    Feel free to explain how confused I am. (But be warned, I am not
    going to believe it costs $2B/year to run a multi-homed network with
    two full feeds. :)

    -- 
    TTFN,
    patrick
    

  • Next message: Patrick W. Gilmore: "Re: An Attempt at Economically Rational Pricing: Time Warner Trial"





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