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IP Transit & Peering
Offir Schwartz

Internet Exchanges: How to Connect, Why You Should

Internet Exchange Points cut transit costs and shorten paths, yet many regional ISPs skip them. What an IXP is, why peering pays off, and the practical steps to connect, including remote peering.

Internet Exchange Points (IXPs) are one of the most powerful - and underutilized - tools available to regional ISPs and network operators for reducing costs and improving performance. By connecting to an IXP, networks can exchange traffic directly with hundreds of other networks - including major content providers - without routing that traffic through paid transit providers.

What is an Internet Exchange Point?

An IXP is a physical infrastructure through which internet service providers exchange internet traffic between their networks. At the core of every IXP is a switching fabric - essentially a very large, high-speed switch - to which member networks connect their routers. Once connected, any IXP member can establish a BGP peering session with any other member, enabling the direct exchange of traffic.

IXPs range in size from massive global exchanges like DE-CIX Frankfurt (which handles multiple terabits of traffic per second) to smaller regional exchanges that serve local markets.

Why connect to an IXP?

1. Cost Reduction: The primary driver for most networks is cost. Traffic exchanged at an IXP doesn't travel over paid transit links, which means lower transit bills. For networks where a significant portion of traffic is destined for IXP members, the savings can be substantial.

2. Performance Improvement: Traffic exchanged at an IXP travels a shorter path - directly between networks rather than through one or more transit providers' networks. This reduces latency and can improve the reliability of traffic delivery.

3. Resilience: Peering at an IXP provides an additional traffic path that can serve as a backup if transit connectivity is disrupted. This redundancy improves overall network resilience.

4. Access to Content: Major content providers including Netflix (Open Connect), Google (GGC), Akamai, Cloudflare, and many others participate in IXPs or have cache servers co-located at exchange facilities. Connecting to an IXP can provide direct access to these content sources.

How to connect to an IXP

Connecting to an IXP typically requires:

1. Membership: Joining the IXP as a member, which involves completing an application, agreeing to the IXP's policies, and paying membership fees.

2. Colocation: Housing your router at the same facility as the IXP switching fabric, or obtaining access through a remote peering service.

3. Physical Connection: Connecting your router to the IXP fabric via a cross-connect or port.

4. BGP Configuration: Configuring BGP sessions with other IXP members you want to peer with.

For smaller networks that don't have equipment at IXP locations, remote peering services provide a way to access IXP peering without physical presence at the exchange facility. Capcon Networks' Connect-IX product provides exactly this capability - enabling rural ISPs and regional networks to access internet exchange peering without the complexity and cost of colocation.