We have recently witnessed proliferation of Internet Exchange Points (IXP) in remote locations, away from the main traffic hubs. More and more IXPs are established in S.E.Asia, Africa, Middle East; some by NPOs (e.g. ISOC, NSRC), some by well established Exchanges (e.g. DE-CIX), and some by local for-profit ventures.
Local IXP serves as the meeting point between local networks, instead of exchanging traffic abroad, as viewed in the following image (source: Analysys Mason).
The benefits in having a local IXP are:
- Saving international bandwidth cost
- Improving QoE by reducing latency for local content
- Encouraging hosting of local content
- Pulling in international CDNs
- Enabling local online services (e.g. governmental)
The commercial value of setting up an IXP in emerging markets is quite elusive. Critical local traffic mass is required to justify IXP establishment. Yet international capacity prices, poor QoE and lack of local content inhibit accumulation of such mass.
At DiViNetworks we continuously analyze which IXPs to join and connect to our DiViCloud network. Looking at the global data flow, we calculate the benefits our customers and will enjoy if we join an IXP. We have already directly joined HKIX (Hong Kong), Equinix-Singapore, Equinix-Sydney, MSK-IX (Moscow) and PTT Metro (Sao Paulo). We participate in all major IXPs through our upstream providers and plan to join additional IXPs soon.