Peering is the interconnection of two networks to exchange traffic for mutual benefit. The physical interconnection of the two networks can be public peering utilizing a shared fabric such as the Internet or private peering over a dedicated service like a point-to-point circuit.
An example of mutually beneficial peering could proceed as follows: two companies enter into a VoIP peering relationship whereby they exchange DIDs (phone numbers) with the other party to avoid traditional PSTN long distance charges when calling between the companies.
Peering between networks is nothing new. It has been a part of conducting business for Broadvox and IP service providers for years. Peering is receiving renewed interest as the possibility of free global IP calling nears. Companies like Skype and Google are exploring how to take advantage of IP peering arrangements to reduce the cost of calling for their customers and members. Although, both companies use other means to generate revenue.
As peering grows, the lower cost will be passed along to customers. Many of the benefits of IP communications depend upon peering, if we are to offer end-to-end IP calling leveraging new features and applications.
For further information contact us toll free at: 800.273.4320 or info@broadvox.com