During the NiRA Tech Convergence 1.0 event, Uchechukwu Ugwuanyi, representing Muhammed Rudman, CEO/MD of the Internet Exchange Point of Nigeria (IXPN), discussed the role of Internet Exchange Points (IXPs) in the Domain Name System (DNS) industry and the general tech sector.
Ugwuanyi explained the importance of understanding Internet Exchange Points (IXPs) to appreciate the role that these infrastructures play in the tech space.
He stated: “Before we look at the role of IXPN to the ecosystem, I think it’s prudent for us to very briefly look at what an Internet Exchange Point is. Let’s imagine a region, say Lagos, and in this particular region, there’s just one service provider.”
This background, he explained, is essential for understanding the nuances of network communications.
The Function of IXPs in the DNS Industry
Still speaking at the Tech Convergence 1.0, Ugwuanyi delved into the technical details of how IXPs work, noting how they impact the efficiency of DNS operations.
The Internet Exchange Point of Nigeria, for example, connects over 128 networks, and its average traffic reaches over 800 Gbps.
IXPN operates in all major data centres across Nigeria, including ICNL, Digital Realty, Rack Centre, MDXi, Cloud Exchange, ADC, and OADC. Added to this, IXPN has points of presence in Abuja, Kano, Port Harcourt, Enugu, and Delta.
“The Internet Exchange Point of Nigeria, before we delve into the roles it plays, connects over 128 networks, with average traffic exceeding 800 Gbps. We are present in all of the major data centres in Lagos, including ICNL Digital, formerly medallion, Rack Centre, MDXI, Cloud Exchange, ADC, and OADC. We also have other points of presence in Abuja, Kano, Enugu, and Delta.”
Ugwuanyi explained the important role that IXPs play in reducing latency in network communications, which is essential for the efficient functioning of the DNS infrastructure. He illustrated this by comparing the latency between networks connected to IXPN and those that rely on submarine cables.
“For connection to IXPN, all these networks can reach each other at less than one millisecond. The average time to reach these DNS servers is less than one millisecond, as opposed to going through submarine cables, which takes no less than 90 to 100 milliseconds.”
This improvement in speed ascertains the effectiveness of IXPs in reducing latency, which is essential for faster, more reliable internet access, especially for DNS resolutions.
The Economic Benefits of IXPs
Ugwuanyi also emphasised the economic advantages of using IXPs. He explained that on average, most ISPs exchange 50-60% of their traffic at IXPN. This has a significant impact on cost savings for service providers.
“On average, most of the members exchange 50 to 60% of their traffic at IXPN. What this means is that 50-60% of a typical ISP’s traffic goes through the exchange point.”
He used Lagos as an example to highlight the difference in cost between using IXPN for local traffic versus using international transit.
For instance, a one Gbps connection at IXPN costs around N200,000, while the cost for a similar connection using international transit is much higher, often around N1.2 million after negotiation. The cost difference is obvious, and it shows the economic benefits of localising traffic.
“If you look at the cost of a one Gbps transit, you’re looking at N1.2 million if you negotiate very well. The cost of the same one Mbps connection to IXPN is N200,000, which is a significant saving for providers.”
Outside Lagos, the cost of international transit increases drastically, which further stresses the economic advantage of using IXPs.
“One of our members in Ibadan told me that one Gbps transit connection costs almost N4 million there. So you can see how the reduction in cost of operation is quite significant.”
Enhancing Security and Compliance
Another key aspect of IXPs is their role in enhancing the security and compliance of internet traffic. By localising internet traffic, IXPs reduce the number of intermediaries involved in data transmission, thereby decreasing the exposure to potential attacks. Ugwuanyi explained:
“If the traffic is local, there are fewer players who can intercept and attack the traffic. It also reduces the exposure to attacks like Distributed Denial of Service (DDoS), which is a significant threat when traffic passes through multiple providers and hubs.”
He also discussed how IXPs help with data localisation and compliance with regional regulations. In Nigeria, some laws prevent operators from storing user data outside the country, and IXPs help ensure compliance with such data localisation laws.
“Nigeria has some data localisation laws and policies. For example, operators are prevented from keeping their user data outside Nigeria. An IXP would facilitate and make it possible for players to comply with these regulations.”
Ugwuanyi stressed the importance of IXPs in the tech space, in terms of improving network performance and also reducing costs and enhancing security.
He noted that IXPs help in improving the efficiency, affordability, and security of internet services, making them an essential part of the technological infrastructure in Nigeria and beyond.
“The reduction in cost of operation and improved network performance provided by IXPs is precise. In Lagos, for example, the difference between using IXPN and international transit is very noticeable. The role of IXPs in improving connectivity and reducing costs is undeniable.”
