ACTIVITIES :: International Relations :: Global Issues :: ITU

ITU

The Commission is a sector member of the International Telecommunications Union and participates in study group meetings and workshops etc of the ITU. The following is an example of an ongoing discussion regarding international Internet connectivity in the ITU.

ITU recommendation (D.50) has been the subject of discussion in an ITU's study group since its adoption in 2000 at the ITU world standards assembly. The recommendation covers international Internet connectivity agreement between Internet service providers and Internet backbone providers which are needed in order for the ISPs to obtain global Internet connectivity for users of the Internet.
This system works well in industrialised countries, but for developing countries access to the Internet often goes via relatively expensive satellite links or other transmission links which ISPs in developing countries have to cover themselves. Many developing country operators consider this a problem which can only be resolved if ISPs in other countries agree to share the costs of the international link capacity according to the level of traffic exchanged between the ISPs concerned.

This is discussed in a Commission background paper and in a contribution to ITU study group 3.

The background paper and the contribution are available in PDF format: -

A special so-called rapporteur group which deals with ITU Recommendation D.50 about international Internet connections (IIC) regarding transit or exchange of traffic on the international Internet backbone networks, met three times in Brussels between April 2003 and April 2004 to try to agree on what the problem or problems are regarding the proper functioning of this market. At the meetings the main discussions have focused on how traffic is actually exchanged on the Internet so that all delegates were able to properly understand how the mechanisms of Internet connectivity actually work and how backbone network service providers operate and conclude agreements with local or international Internet service providers.

At the third meeting on 28-30 April 2004 a proposal to amend the recommendation with a set of general considerations for IIC negotiations was supported by a number of participants both from industry and government. The proposal refers to the level of traffic exchanged as an element for IIC negotiations.

However, some participants wanted to have the recommendation amended to refer to traffic flow as a measurable element for IIC negotiations since they consider it possible to apply the results of ongoing research on traffic flow measurement technologies for this purpose. They could therefore not give their final position on the proposal at the meeting. This proposal was further discussed in the ITU study group during the first week of June 2004 in Geneva and a decision to include the general considerations in a modified form as an appendix to Recommendation D.50 was finally taken at the meeting. The issue is however likely to continue during the next four year study period of the ITU.

Below are some of the presentations made at the rapporteur group meetings in 2003:

A session of the rapporteurs meeting was devoted to helping smaller networks with limited traffic to improve their cost management for accessing the Internet. Presentations about this by Colin Shackleton (New Zealand) and by Jacques Seini (Burkina Faso) are available: -

It was agreed at the meeting that the high costs of connectivity between least developed countries and the Internet backbone networks remains a serious problem for these countries. Appropriate means to help resolve this problem clearly need to be agreed and put to work. Abossé Akue-Kpakpo (Togo) presented the view that the economic survival of Internet service providers in his country was becoming a serious issue because of these high connectivity costs.

His presentation entitled "problems for the development of the Internet in developing countries" is available:

The question of possible anti-competitive behaviour by the major backbone network operators remained a contentious issue at the meeting. Several presentations , based on considerable research, addressed this issue.

The presentation by Dr Daniel Roseman (Roseman Associates, Ottawa,Canada) gave a very extensive picture of the associated international discussion on the international Internet connectivity issue and concluded by offering possible ways forward:

See also the full study by Dr Roseman:

In addition, an econometric study on the relationship between transit and peering was presented by Dr Emanuele Giovannetti of Cambridge University. His presentation is available:

together with other relevant background papers: - -

The views of Telstra Corporation of Australia on the issue of international internet interconnection were also presented (66 kb) (81 kb). Telstra's contribution intended to provide background to the discussion regarding why a major Internet backbone provider had changed its position regarding the need for any regulatory intervention in this market.

Presentations by Cable and Wireless and AT&T provided extensive information and data about the working of the Internet and about changes in the Internet market. These presentations also addressed the ways in which Internet traffic is becoming more regional in nature.

The presentation by Cable and Wireless is available (2Mb):

Interested readers may also want to review a study on the issue released by the European Commission in May 2002: "The Economics of IP Networks - Market, Technical and Public Policy Issues Relating to Internet Traffic Exchange", by WIK-Consult. The study provides descriptions and analysis of some issues concerned with commercial traffic exchange on the backbone Internet: market structure and competition, addressing, quality of service.

Executive summary and Main Report and Annexes

This study provided a significant part of the market analysis which provided the basis for the Commission’s decision that ex-ante regulation of the international Internet backbone market would not be recommended.

It was also suggested that one way of moving forward on this issue was to follow the so-called Halfway proposition made by Afrispa in Johannesburg in October 2002. This proposition does not ask for the introduction of regulation by the ITU as a way forward, but suggests to facilitate the creation of traffic aggregation within Africa. This would avoid the need to invest in expensive additional capacity between Europe or North America and African countries.

Last update: 23/10/2009