"Mandatory 'Free Peering' is another way to speed up Philippine Internet service. Its like allowing separate Internet network whether government-owned or private to interconnect with major telecommunication companies to facilitate faster exchange of data. Globe and PLDT have done it with voice. Let them do it this time with data. Government should step in and never take this issue lightly. Investing on ICT is not an EXPENSE but a necessary tool for economic development and job creation" - Rodge Tonacao
Under the memo circular of the National Telecommunications Communications (NTC), all ISPs are required to connect with the IP exchange of the Department of Science and Technology-Advanced Science and Technology Institute (DOST-ASTI) with respect to their domestic Internet traffic.
Proponents of IP peering such as Globe Telecom have said to be erroneously comparing this to interconnection for voice calls and SMS between phone carriers, except that in this case interconnection applies to Internet traffic.
“That is comparing apples and oranges," said PLDT technology group head Roland G. Pena. “IP peering is much more complex than conventional interconnection."
Pena argues that "Unlike conventional phone systems where calls are handled using carefully planned routing tables downloaded into switching systems, the routers of Internet use a self-discovery process to determine the connectivity of the network and decide themselves where to send traffic. Rather than use direct high-usage peering or redundancy throughout the network which is the rule for telephone systems, the Internet achieves reliability via a mesh network rich in alternate routes."
PLDT also argued that the lack of provisions for compensation creates a disincentive for ISPs to invest in Internet infrastructure and would ultimately lead to a deterioration of service levels. In other words, PLDT would not agree if they will not get paid in allowing peering with its Internet Pipes. All the other reasons like quality of service and security issues may be merely excuses.
Having a national local peer exchange will definitely improve local internet traffic. It would also be cheaper in the long run since local Internet data wont need to peer outside the country and hop back to the Philippines again. PLDT has a lot of money invested on its internet pipes and is not willing to share them with any other ISPs if they aren't compensated for it.
The lack of IP peering among local ISPs is one of the factors that contribute to slower internet speeds in the country. The absence of an effective and applicable IP peering agreement among major telecommunications providers in the Philippines has been huge deterrent in further advancing internet development in the country. Establishing a direct connection among ISPs would greatly improve throughput and latency performance of ISPs and enhance bandwidth utilization.
“When IP traffic needs to go from point A to point B – especially when both points are located within the Philippines – the transmission route taken ought to be the most direct, and certainly not international. This will immediately result in a faster, better Internet access experience for consumers" says Globe Telecom counsel Froilan Castelo.
The top traffic sources and sinks are typically brought about by the ISPs that do not peer openly. Instead of getting routed directly between origin and destination, data is routed outwards through ISPs that sell transit before the data is routed back to its target destination, thus causing delay in data transmission and effectively slowing internet connectivity. The customer experience is degraded with longer IP peering since data is routed outwards, for instance internationally first, before landing at its target destination.
Arguing also that the government agency in charge of the Internet exchange may not be capable of maintaining security and service quality is irrelevant. Telcos should just work hand-in-hand with the government agency like NTC to make sure that particular requirement for rigorous and robust arrangements for IP peering is addressed.
Peering provides a more direct traffic path between the parties while simultaneously reducing the load on expensive transit services.
We need business relationships whereby companies reciprocally provide access to each other’s customers. A way to exchange some of our traffic with all parties not incurring any form of Internet transit fees.
Settlement-free, meaning that neither party pays the other for access to each other’s customers, reflective of the underlying notion that peering is a relationship of approximately equal value to each party. Since both parties benefit about the same from the relationship, there is no need to bother with the overhead of measurement and settlement.
Mandatory IP peering among carriers should be put in place to improve internet services in the country. There should not be any access charge in maintaining this, and telcos should not worry itself for other ISPs that may ride for free from the advantages of peering. In the long run, peering will benefit the economy of the country.
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