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Cloudflare Partners With Microsoft, Google and Others To Reduce Bandwidth Costs (techcrunch.com)

A group called the Bandwidth Alliance, being led by Cloudflare, promises to reduce the price of bandwidth for many cloud customers. "The overall idea here is that customers who use both Cloudflare, which is turning eight years old this week, and a cloud provider that's part of this alliance will get a significant discount on their egress traffic or won't have to pay for it at all," reports TechCrunch. From the report: The alliance is open, and others may join still, but right now it includes virtually every major and minor cloud provider you've ever heard of -- with one exception. Current members include Automattic, Backblaze, Digital Ocean, DreamHost, IBM Cloud, Linode, Google, Google Cloud, Microsoft Azure, Packet, Scaleway and Vapor. Some of these will now offer free egress traffic to mutual customers with Cloudflare, while others will offer at least a 75 percent discount.

Why would these businesses choose to do away with what's a minor but high-margin business, though? "The argument that we made to them was a pretty simple argument: it makes sense for you to charge for transit when you are actually paying for it," [Cloudflare CEO and co-founder Matthew Prince] said. Most of the time, though, those costs are very minor and Cloudflare, thanks to his massive number of global peering locations, can ingest the traffic directly from the cloud provider with no middlemen involved.

43 comments

  1. second boast by Anonymous Coward · · Score: 0

    upvote

  2. Correction: by Cornwallis · · Score: 1, Informative

    Google is NOT part of the alliance.

    1. Re:Correction: by sg_oneill · · Score: 2, Informative

      Google is NOT part of the alliance.

      Completely wrong. Google is absolutely part of the alliance, and one of the key backers.

      Amazon , however, appears not to be. Which is curious, as Amazon is the dominant player in the space. Leading me to suspect this is bit of an anti-amazon club.

      --
      Excuse the Unicode crap in my posts. That's an apostrophe, and slashdot is busted.
    2. Re:Correction: by sg_oneill · · Score: 1

      Nope. My bad, you where right. Apparently Bandwidth Alliance has been a bit naughty and including google in their advertising materials, BUT Google says they are not a part. The plot thickens!

      --
      Excuse the Unicode crap in my posts. That's an apostrophe, and slashdot is busted.
    3. Re:Correction: by Anonymous Coward · · Score: 2, Informative

      That's the author of article's fault, not Bandwidth Alliance. That said, Cloudflare has a separate agreement with Google that is along the same lines as those in Alliance.

    4. Re:Correction: by Anonymous Coward · · Score: 0

      Neither is microsoft.

      ibm, sun, spyglass, apple etc remembers....

    5. Re:Correction: by Anonymous Coward · · Score: 0

      Google will not support reducing the cost of anything. And all the big tech companies such as Google, Facebook, Twitter, and any other company that generates revenue via the Internet are not paying for the infrastructure they use to create gigantic profits. They are piggybacking on an Internet paid for by others. They should be the ones to pay for upgrading to the internet fiber and 5G mobile network updates. A city or state should not have to pay for fiber upgrades, 5G, and expanding internet access to the rural areas. All the big companies need the upgrades to increase the number of potential users that use their services. The companies push the upgrade work down to the ISP's and the ISP's pass the cost to the users.

  3. Translated TFS? by Anonymous Coward · · Score: 0

    Most of the time, though, those costs are very minor and Cloudflare, thanks to his massive number of ...

    I'm guessing that, somewhere along the line, TFS (and presumably TFA) was translated from a romance language. English is prudish: words don't have sex the way they do in romance languages.

    1. Re:Translated TFS? by Desler · · Score: 1

      His is a third-person pronoun referring to the Cloudfare CEO mentioned in the preceding sentence. Learn2English.

    2. Re:Translated TFS? by Anonymous Coward · · Score: 0

      If Trump doesn't have to learn how to speak properly, then nobody does. Murica, land of sanctioned rape and sliding standards.

    3. Re:Translated TFS? by Anonymous Coward · · Score: 0

      It's TFS, not TDS. Now go back to your room full of Hillary spank mags and let the sane people do the typing.

  4. Just in case you missed it by Actually,+I+do+RTFA · · Score: 2

    Amazon's AWS isn't participating in this. Because you should use whatever AWS service there is that competes with Cloudflare.

    --
    Your ad here. Ask me how!
    1. Re:Just in case you missed it by Pseudonym · · Score: 3, Funny

      CloudFront, which is 30% different from Cloudflare judging by the letters in its name.

      --
      sub f{($f)=@_;print"$f(q{$f});";}f(q{sub f{($f)=@_;print"$f(q{$f});";}f});
    2. Re:Just in case you missed it by Anonymous Coward · · Score: 0

      What's wrong with Cloudflare, for those of us who have been living under a rock?

    3. Re:Just in case you missed it by Actually,+I+do+RTFA · · Score: 1

      From Amazon's point of view, what's wrong with Cloudflare is that they have a competing product.

      --
      Your ad here. Ask me how!
  5. Other side of the coin by Sarten-X · · Score: 5, Insightful

    Or in other words, if you're using Cloudflare, but want to host on Sarten-X's Super-Awesome Web Service (or any of the tons of cheap host providers out there) instead of Azure, you'll have to pay more for bandwidth, and if you're trying to pitch a startup service like an API to clients, they'll want to have that free-bandwidth perk that your competitors offer.

    I guess now to be competitive as a cloud provider, I have to go join this "Alliance", which I'm sure will involve a contract of some kind, and some terms... if they'll even talk to a bit player like me.

    Thanks, FCC, for killing Net Neutrality! This is exactly the kind of shit that was predicted, and you said it wouldn't happen.

    --
    You do not have a moral or legal right to do absolutely anything you want.
    1. Re:Other side of the coin by rtb61 · · Score: 4, Interesting

      It will get worse and worse, crippling US internet competitiveness and do real damage to the entire US economy but a couple of companies will make out like bandits for a couple of years and it all blows up forcing new legislation but by then the damage is done and those companies don't give a fuck, even when their profits start dying becuase of a crippled economy because the dick executives at the top have wandered off with their bonuses all they care about. Government decision making driven by which ever corporation pays the most when ever they pay the most regardless of consequence.

      You have yet to even taste the real chaos that is going to be created. Straight up Mafia like protection rackets, pay up or you traffic might suffer and all made legal by an extremely corrupt government. You will of course have to pay traffic protection to them all because, often your traffic will shift from one network to the other and just one leg of the journey can cripple regardlles of how much you spend in protection elsewhere.

      Yet they don't give one fuck. Damage the economy, so what, they make more now. Legislation will be forced, so what, they made more as long as they could pay off politicians to block legislation for as long as possible. Long term damage will be done to the entire US economy, so what, more bonus now. They will dutifully stand up and shamelessly lie about anything and everything now, don't give one fuck, never prosecuted as long as they are tied to the correct crime clan at the time.

      In fact you don't want to own the entire network, just critical juncture points, maximise the profitability.

      --
      Chaos - everything, everywhere, everywhen
    2. Re:Other side of the coin by Anonymous Coward · · Score: 0

      and don't forget that cloudfare, which is about as 'evil' as they come, gets to scoop up all that delicious usage data.

    3. Re: Other side of the coin by Anonymous Coward · · Score: 0

      You are not a cloud provider, you sell anime video streaming. Net neutrality has nothing to do with your business and the fat that your market is broke neck bearded man children has everything to do with it.

  6. Alliance my butt by Rosco+P.+Coltrane · · Score: 4, Insightful

    More like a cartel to me.

    Thanks FCC...

    --
    "A door is what a dog is perpetually on the wrong side of" - Ogden Nash
    1. Re:Alliance my butt by Anonymous Coward · · Score: 0

      These are companies that opposed net neutrality.

      The only difference is that their anti-competitive cartel mongering isn't taxpayer subsidized, they got to fund it directly.

      Literally nobody in "Big Tech" believes in free expression and "treating all data the same".

  7. t/f - "with no middlemen involved" by Anonymous Coward · · Score: 1
  8. Your DNS queries to the highest bidder. by Anonymous Coward · · Score: 0

    Your DNS queries to the highest bidder.

  9. translation by Anonymous Coward · · Score: 0

    "We will shift the cost to residential customers."

  10. How is Cloudfail financed? by Anonymous Coward · · Score: 1

    Just wondering, since it is practically a monopoly. Never been in the hosting business, but do know that it appears to have so much unencrypted traffic flowing through its systems (despite encrypted pipes) and they claim they are ultra secure. O rly? Is someone paying for the opportunity to sift through all that data? They have an awful lot of private signing keys in their possession... If this is not a scheme to sift through data (by a powerful part, a government?), then it's almost assuredly turning into a single point of failure.

    Captcha: synergy (I don't think so)

    1. Re:How is Cloudfail financed? by Anonymous Coward · · Score: 0

      Cloudflare a monopoly? Are you a fucking idiot? There are LOTS of networks like Cloudflare. Don't let the "cloud" term confuse you -- its' just another way of describing a content delivery system.

    2. Re:How is Cloudfail financed? by Anonymous Coward · · Score: 0

      Yeah, I agree, and based in the USA is subject to secret orders. As In WW2 Traffic Analysis (TA), even if the message was encrypted gave lots of useful information, especially since many VPN's use cloudfail. Testing this theory by posting juicy sounding mp4 titles with Fox news scandal names. Let them sift false positives.

    3. Re:How is Cloudfail financed? by Anonymous Coward · · Score: 0

      I assume they're financed like all the other big corps in the beginning: investors feeding a loss-leader until they gain market dominance, e.g. Amazon, Youtube, Facebook.

  11. Why do we need Cloudfare? by Anonymous Coward · · Score: 0

    Cloudfare is a pain in the ass. I don't need some shadow company becoming a middleman gateway to all the websites I visit. The Internet "works" without Cloudfare.

    1. Re:Why do we need Cloudfare? by Anonymous Coward · · Score: 0

      they provide service for reducing costs 3+ times for smaller companies so that company has servers only in one city and website is replicated on every continent by cloud-thing for very cheap
      big companies like google or facebook can afford to have duplicate servers in every major country like China or India or European Union, smaller ones usually can afford only 1 copy of servers and that is usually in USA so EU people have very slow access to small company website

  12. (Prison is coming for Trumptarded rapists) by Anonymous Coward · · Score: 0

    If Trump doesn't have to learn how to speak properly, then nobody does. Murica, land of sanctioned rape and sliding standards.

  13. Free egress? no more pricy transit agreeements?! by Anonymous Coward · · Score: 0

    Oh noes!

    Thanks FCC!

  14. Peering by Anonymous Coward · · Score: 0

    Tell me again how this is different from a peering agreement?

    Egress is how you bandwidth limit a network so this seems very crappy

    1. Re:Peering by Anonymous Coward · · Score: 0

      Probably the weight of the associated marketeering.

      Anyhow, it sounds like a bit of a land grab for cloudflare (breakers of teh intarwebz). Not so sure what the rest gains, except that they all signed up because the other guy signed up too, so they wouldn't be left behind.

  15. Bandwidth allianace? by Anonymous Coward · · Score: 0

    Just imagine how much bandwidth could be saved if Microsoft made a better Windows and did not need to send out updates multiple times a month to hundreds of thousands of devices?

    1. Re:Bandwidth allianace? by Cmdln+Daco · · Score: 1

      I'm thinking more about reducing the 'updates' from Huffington Post and Breitbart (but now I'm being redundant) send out.

  16. Google Fiber and Project Fi by tepples · · Score: 1

    Google will not support reducing the cost of anything. [...] They should be the ones to pay for upgrading to the internet fiber and 5G mobile network updates.

    Then what are Google Fiber and Project Fi?

    A city or state should not have to pay for fiber upgrades, 5G, and expanding internet access to the rural areas.

    Nor should it obstruct when Google wants to come in and pay for fiber and 5G.

    1. Re:Google Fiber and Project Fi by drinkypoo · · Score: 1

      Then what are Google Fiber and Project Fi?

      Research projects for Google which have the side advantage of making the entrenched players scared while actually helping only a minuscule percentage of users.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  17. All about services by Bengie · · Score: 1

    Level 3 was saying some years ago that bandwdith has become a commodity. Low margin and constantly changing. The only way to compete in the long run is with services. Even right now, we have a multi trillion dollar set of businesses running on top of a messily $150 bil worth of world wide network equipment. The value of the services running on top of the network is growing exponentially and the network itself is mostly a one-time sunk cost with some upkeep and maintenance.

    Upgrading endpoints is easy and cheap, and most of the trenching has already been done. A small amount of physical growth. Most of the improvements in network speed are from an increase in technology, not capital expenditure.

    It's not surprise that these service providers are wanting to just peer and have free bandwidth. The administrative overhead to manage the nickle-and-diming is more than the cost of the bandwidth. Not to mention the opportunity costs of long negotiations. Cut out the middle-man, make it free and compete with services.

  18. Censorship possibilities with Google AMP by Anonymous Coward · · Score: 0

    Google AMP, cloudflare, etc.... We are moving into a world where the web can be easily censored.