If we see the total internet traffic breakup for any service provider the % of traffic from Google is around 30% ,15-20% of the traffic is from Facebook and sites such as download.microsoft.com etc. The OTT players such as Google in order to enhance user experience have tried to get as close to the user as possible by direct peering with the regional service providers and provide contents using CDN (Content delivery network) providers. Google is having its own CDN network branded as a service called Google Global Cache (GGC) and Other big players such as Facebook and Microsoft have bought CDN services from Akamai,Limelight etc. Typically any service provider will be having around 40% traffic being served from Google and Akamai combined. So it would be interesting to know how these services work.
India has today 13 different telecom operators and more than 100 Internet Service Providers (ISPs).This competition has lead to benefit of the consumer in two ways
1.Improved Quality of service (You have to agree on that :p )
2.Reduction in tariff.
The impact of these two on operators is that they have to put more CAPEX (Capital expenditure)on infrastructure and lesser ARPU (Average revenue per user) . Continue reading “Should Google/Facebook pay to operators like Airtel, Idea, Vodafone”