On Mon, 28 Jul 2014, Paul Graydon wrote:

On 07/28/14 11:02, Edward Ned Harvey (lopser) wrote:
From: discuss-boun...@lists.lopsa.org [mailto:discuss-
boun...@lists.lopsa.org] On Behalf Of Leon Towns-von Stauber

It's true what one discussion participant said, to a certain extent: the fact that it's Netflix sending all this traffic is none of Verizon's business. Verizon's direct issue is with Level 3, and normally it would be Level 3 obligated to pay
Verizon; the case for Verizon to pay is nonexistent, AFAICT, based on
traditional arrangements.
As you said, Netflix is already paying Level 3 plenty of money.

Level 3 offered to pay for all of the time and materials to upgrade the peering point with Verizon. Verizon refuses because they want a larger recurring payment from Netflix.
Note there is a world of difference between the cost of time and materials for upgrading the peering point, and the ongoing cost of receiving data from Level 3.

As pointed out elsewhere in thread, as the inbound / outbound ratio skews away from 50/50 the per packet cost to the ISP increases.

And as it has also been pointed out, Netflix controls the software at both ends of the connection and the inbound side of it's servers is pretty idle, so it could easily cause the clients to spew traffic back to the servers, "improving" the ratio, but the only benefit would be the game the inbound/outbound ratio, it would actually harm the Internet overall.

They could probably push the ratio above 1:1 as a lot of people have uplinks that are faster than the max downlink speeds that Netflic provides.

They'll more than recoup those expenses with the data costs as the ratio is likely to skew even further in their favour.

The thing is that there is no such thing as a one-direction fiber, and even the interfaces speeds are symmetrical once you get outside of the last-mile.

So it doesn't cost Verizon/Layer3/Netflix any more or less to have the connections fully utilized in one direction and idle in the other direction than to have them fully utilized in both directions.

David Lang
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