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What is the difference between IP-TRANSIT and PEERING?

What are IP transit and peering? Learn about the difference and advantages of each service in our article.

IP-Transit - are services provided by one operator to another. The upstream provider sells transit of IP traffic to the Internet. Because one operator is higher than the other in the hierarchy, both parties do not benefit from the same communication.

Peering is a connection between one-level network participants that can exchange data directly, without having to pay a third party to transmit traffic over the Internet.

 

Why does Peering have a greater demand than IP-transit?

Since IP-Transit depends on an upstream provider, you need to pay an amount equal to the amount of data to reach the destination.

Peering is a P2P connection between equal partners, with the same data transmission requirements. The exchange of data between network members may be free of charge or at a low cost.

In addition to the low cost, there are several other advantages, such as transmission rate, forward control, and the powered path that make peering a profitable solution for users: speed and optimized routes.

There are two most common ways to establish a peer-to-peer connection to another network.

Public peering provides an efficient and cost-effective way to directly connect a large number of Internet Service Providers (ISPs), and Content Providers (CDNs), without the need to create dedicated transport links to establish the connection.

Advantages of Public peering:

  • Efficient use of ports
  • Hundreds of partners available on large IXPs
  • Daily increase in the number of new members

Disadvantages:

  • Port charge and/or membership fees

Private peering has a direct connection between two peer networks. These are several networks that are connected in one data center but establish communication between the equipment directly, without connecting to an IXP.

Advantages of Private peering:

  • Guaranteed bandwidth
  • Easy to track issues
  • Safe and safer than public peering

Disadvantages:

  • Cost-effective only for large data transmission
  • Takes more time to establish new connections with other networks

With the above brief explanation of the difference between peering and IP transit, you will be able to determine for yourself what will be most suitable and effective for your business.

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