The role of IP Transit in Data Center Connectivity

The role of IP Transit in Data Center Connectivity

By Published On: January 15, 2024Categories: Article
The role of IP Transit in Data Center Connectivity (1)

When it comes to interconnection in Data Center, there are many types of connectivity that customers can utilise. The first that we have discussed in the previous article is Network Peering, and the other option is IP Transit, a service that can help organisations optimise connectivity and increase business growth in the digital era.

IP Transit is a service that helps to provide international bandwidth and connectivity for customers within a Data Center and it is one of the most important elements that ensure highly connected Data Center ecosystem to facilitate critical connectivity and data exchange for their customers. To understand more about the function of IP Transit in improving Data Center connectivity, let’s explore the summary below.

What is IP Transit?

IP Transit is an internet connectivity service that utilises the infrastructure of a network service provider so that it can be fully connected to the global internet. Any organisation that has Autonomous System Number (ASN) can utilise IP Transit service and establish routing using the Border Gateway Protocol (BGP). By using IP Transit, organisations can exchange data, either through internal networks, or other networks around the world on a larger scale and at a high speed.

IP Transit plays a crucial role in the Data Center by bridging the wider global network infrastructure, allowing access to various resources, services, or content around the world. Generally an internet service provider (“ISP”) or customers will be charged a fee for transport service by upstream providers to connect them to every publicly reachable destination on the Internet.

IP Transit Functions in Data Center

If you are an organisation that requires high data exchange and do not want to rely solely on peering with multiple ISPs, then IP Transit can be an ideal choice for your connectivity needs. Here are some functions of IP Peering for your Data Center connectivity.

1. Accessing the Global Scale Internet

A data center that hosts various IP Transit providers enables their customers ease of access to the global internet, including various content, connectivity and other data resources. This plays an important role, especially for services and applications that are hosted in the Data Center which require seamless connectivity to worldwide networks.

2. Optimal Data Exchange

In the Data Center, IP Transit can be used as a direct data exchange path, either to Internet Service Provider (ISP) or to another Data Center. IP transit providers guarantee traffic delivery to any destination on the Internet by creating the most optimal and efficient path for data transmission, so it will have a direct impact on the speed and latency of connectivity. This will allow greater experience for end users with seamless connectivity to global content and data resources.

3. Traffic Management

Data Centers that use IP Transit are also facilitated in terms of network control, where organisations can monitor data exchange through the management interface. This process will make data traffic more efficient, as organisations can choose the closest path or monitor the actual data exchange.

4. Cost Efficiency

If you are familiar with Data Center colocation services, IP Transit services also has the same subscription model that eliminates the need of huge upfront investment and timely set up. Instead of building their own infrastructure, organisations can utilise IP transit providers’ traffic exchange infrastructure and services, reducing the setup costs of the network and ongoing maintenance costs once the service is running. Additionally, IP Transit customers will only pay for the services required, enabling organisations to focus on their core business.

Above is our discussion about IP Transit starting from its definition and functions in improving Data Center connectivity. To ensure smooth Data Center connectivity, the combination of IP Transit and IP Peering is the majority choice of many businesses, and we can adjust this choice according to your organisation’s requirements.

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