Level 3, tw telecom Announce Deal for Settlement-Free Peering

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Level 3 Communications, Inc.
LVLT
and tw telecom inc.
TWTC
today announced they have entered into a long-term settlement-free Internet traffic exchange agreement. (Logo: http://photos.prnewswire.com/prnh/20111004/LA77008LOGO) The settlement-free agreement, commonly referred to as a peering agreement in the Internet industry, allows the two Internet service provider networks to exchange data, enabling Internet customers on one network to send and receive Internet content with customers on the other network more efficiently and cost-effectively. As the Internet continues to grow and evolve, Internet service providers must exchange Internet traffic in a scalable, resilient and reliable manner, allowing consumers to enjoy the highest performance and fastest speeds that enable new, innovative high-bandwidth applications.  Broadband consumers now download much more data than they send, requiring Internet carriers to dynamically adjust traffic routing and interconnection locations to maintain a fair and equitable relationship between the two networks.   The Level 3 and tw telecom peering agreement measures both the volume of traffic exchanged and the distance over which that traffic is carried by each network. This approach is called bit-mile peering. In order to keep the relationship equitable, both networks carry approximately the same "bit miles" of data. This model promotes efficient, high-quality service for customers, while ensuring a balanced cost burden across each network.
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Posted In: NewsAlternative CarriersTelecommunication Services
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