Tier 1 Network - Marketing

Marketing

The term tier 1 is often misused as a marketing slogan, rather than being an accurate technical description of a network, because there is no formal definition or authoritative body which determines who is and is not a tier 1 network. Frequent misconceptions of the tier hierarchy include:

  • Tier 1 networks are closer to the backbone of the Internet.
    • In reality, tier 1 networks usually have only a small number of peers (typically only other tier 1 networks and very large tier 2 networks), while tier 2 networks are motivated to peer with many other tier 2 and end-user networks. Thus a tier 2 Network with good peering is frequently much closer to most end users than a tier 1.
  • Tier 1 networks by definition offer better quality Internet connectivity.
    • By definition, there are networks which tier 1 networks have only one path to, and if they lose that path, they have no backup transit which preserves their continuous connectivity.
    • Some tier 2 networks are significantly larger than some tier 1 networks, and are often able to provide more or better connectivity.
  • Tier 2 networks are resellers of services from tier 1 networks.
    • Only tier 3 networks (who provide Internet access) are true resellers, while many large tier 2 networks peer with the majority or even vast majority of the Internet directly except for a small portion of the Internet which is reached via a transit provider.

Because the tier-based ranking system is used in marketing and sales, a long-held though generally misguided view among customers is that they should "only purchase from a tier 1". Because of this, many networks claim to be tier 1 even though they are not, while honest networks may lose business to those who only wish to purchase from a tier 1. The frequent misuse of the term has led to a corruption of the meaning, whereby almost every network claims to be a tier 1 even though it is not. The issue is further complicated by the almost universal use of non-disclosure agreements among tier 1 networks, which prevent the disclosure of details regarding their settlement-free interconnections.

Some of the incorrect measurements which are commonly cited include numbers of routers, route miles of fiber optic cable, or number of customers using a particular network. These are all valid ways to measure the size, scope, capacity, and importance of a network, but they have no direct relationship to tier 1 status.

Another common area of debate is whether it is possible to become a tier 1 through the purchase of paid peering, or settlement-based interconnections, whereby a network "buys" the status of tier 1 rather than achieving it through settlement-free agreements. While this may simulate the routing behaviors of a tier 1 network, it does not simulate the financial or political peering motivations, and is thus considered by most Peering Coordinators to not be a true tier 1 for most discussions.

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