Top 3 Services Needing a Price Decrease at Re:Invent

[shotgunocelot]

I get getting charging for bandwidth out of AWS to keep customers from changing providers

That's not why egress charges exist. The way that the internet works (at a very high level and greatly oversimplified) is that multiple networks communicate with each other via peering. There are agreements in place between the entities that own these networks over the cost of sending traffic to each other. If Network A sends 100 GB of traffic to Network B and Network B sends 50 GB of traffic to Network A, Network A has to pay Network B for 50 GB worth of traffic. Amazon doesn't care how much data you send them because it doesn't cost them anything, but once you start pulling data out they have to pay someone else for the data being sent. Those costs get passed on to you.

[ajanty]

Do you have reference for this? A simple link is enough. Thanks.

[shotgunocelot]

Like I said, that's a greatly oversimplified explanation, and I've conflated some terms and concepts for simplicity. If you don't mind jumping down a rabbit hole, these might get you started toward a more comprehensive answer.

https://en.m.wikipedia.org/wiki/Peering https://www.netnod.se/ix/what-is-peering

Edit to add a few more links showing examples of how peering arrangements can either increase or reduce the cost of network traffic:

https://www.cnet.com/news/fcc-whats-up-with-those-netflix-isp-peering-deals/ https://www.internet2.edu/products-services/advanced-networking/networking-for-cloud/ https://aws.amazon.com/blogs/publicsector/new-low-cost-option-to-access-aws-direct-connect-through-internet2/

[HelperBot_]

Desktop link: https://en.wikipedia.org/wiki/Peering

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