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I'm confused. AAPT, Optus, PipeNetworks, etc all offer transit at significantly lower prices than this for anything I've been quoted with (circa $20-30/Mbps for 100Mbps+).

Is this just because they're offering blended traffic?



It's a synthetic number. From the article:

"We don't disclose exactly what we pay for transit, but I can give you a relative sense of regional differences. To start, let's assume as a benchmark in North America you'd pay a blended average across all the transit providers of $10/Mbps (megabit per second per month). In reality, we pay less than that, but it can serve as a benchmark, and keep the numbers round as we compare regions."


50% of the traffic they send in Australia terminates in Telstra-controlled networks and Telstra don't offer peering.


Was talking about transit offered by Australian providers.


The article inflates the price of transit by a factor of 10.


But Telstra really does charge $200+/Mbps for transit.




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