Acorn - Redecom Conference 2011 Session: ICT Policy and Regulation - PowerPoint PPT Presentation

Acorn - Redecom Conference 2011 Session: ICT Policy and Regulation “ A deployment strategy for Internet Exchange Points as part of a National Broadband Plan " Daniel B. Cavalcanti 19 May 2011

 Set of switches/routers at a physical location (co-location).  Networks and service providers exchange traffic: The  Peering: direct exchange between autonomous systems (no payment). Internet  Transit: one network carries traffic for the other (wholesale customer). Exchange  Benefits of IXPs (positive externalities): Point  Reduce costs and bandwidth requirements. (IXP)  Improve Internet topology and routing efficiency.  Increase fault tolerance.  Reduce latency.  Neutral.

THE CASE FOR IXPs  IXPs provide a level playing field for interconnection (multiple providers present at that point, transit and peering relations possible).  However, incumbent network backbones have no incentive to provide neutral exchange points (given the choice, they prefer to maintain asymmetrical relation with smaller networks).  Interconnection tends to be a standard regulatory requirement.  Nonetheless, special requirements (such as mandatory presence at open and neutral Internet Exchange Points) should be set for providers with significant market power (SMP), or who control a special competitive bottleneck (eg. national backbones and access to submarine cables).

The Internet Exchange Point (IXP) IXP Transit

REGULATORY QUESTIONS  What are the key structural problems affecting prices and competition in the broadband market in Brazil?  Vertically Integrated Networks (backbone, backhaul and access)  International IP Transit (access to submarine cables)  How to effectively tackle these problems?  New fiber networks (build, lease existing, auction existing, etc.)  Internet Exchange Points (simple, inexpensive, structural)!

IXP = PTT ( Ponto de Troca de Tráfego ) INCREASE THE NUMBER AND DISTRIBUTION OF IXPs IN BRAZIL Target: “at least 1 per Area Code” Comitê Gestor da Internet no Brasil ( Brazilian Internet Steering Committee ) Brazil 67 Telephony Area Codes IXP Currently 16 Neutral IXPs Operated by CGI.br (+4 in last 12 months) Target of +52 (at least 1 per Area Code by 2014)

IXP = PTT ( Ponto de Troca de Tráfego ) Americana (SP): population 205.000 São Paulo (SP): population 11 Million PTT São Paulo  185 Participants PTT Americana  11 Participants

CONCLUSIONS  Proposed horizontal regulatory measures in the area of IP interconnection:  Increase the number of IXPs and ensure wider geographic distribution.  Mandatory presence of incumbent backbone networks at these IXPs.  Ensure access to backbone and backhaul infrastructure by small and medium-sized local access providers and network operators.  Reduce cost of IP transit by providing competition at these IXPs (if competitors present at IXP, then easy to migrate).  Increase local peering activity.

THANK YOU! GRACIAS! Daniel B. Cavalcanti danbrc@gmail.com