Re: Question on 95th percentile and Over-usage transit pricing

2011-09-23 Thread Florian Weimer
* Pradeep Bangera: > Question: Does this over-usage bandwidth charge a linear cost function > or is it sub-linear like the committed bandwidth pricing? Percentile-based pricing is never linear. It's not even a continuous function of bandwidth usage. This is inherent to the percentile functional

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-22 Thread PC
I don't know every particular deal, but I felt it's a solution to the person's situation whom I replied to who was producing fake traffic for bandwidth they purchase. The point is to suggest that his pricing scheme where it's potential for the total bill to be cheaper by purposely wasting a resour

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-22 Thread Matthew Palmer
On Thu, Sep 22, 2011 at 10:31:34AM -0700, Ryan Malayter wrote: > On Sep 22, 12:54 am, PC wrote: > > An optimal solution would be a tiered system where the adjusted price only > > applies to traffic units over the price tier threshold and not retroactively > > to all traffic units. > > I have seen

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-22 Thread fredrik danerklint
I like thisone! > As I recall, their scheme went something like: > invoice_amount = some_constant * (quantity)^0.75 -- //fredan

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-22 Thread Ryan Malayter
On Sep 22, 12:54 am, PC wrote: > An optimal solution would be a tiered system where the adjusted price only > applies to traffic units over the price tier threshold and not retroactively > to all traffic units. I have seen a more "optimal" scheme about 15 years ago. Pricing was a smooth functio

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-21 Thread Patrick W. Gilmore
On Sep 22, 2011, at 1:54 AM, PC wrote: > An optimal solution would be a tiered system where the adjusted price only > applies to traffic units over the price tier threshold and not retroactively > to all traffic units. Optimal for whom? Also, I doubt you can make that claim as you do not know

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-21 Thread PC
An optimal solution would be a tiered system where the adjusted price only applies to traffic units over the price tier threshold and not retroactively to all traffic units. On Wed, Sep 21, 2011 at 11:01 PM, Brandon Galbraith < brandon.galbra...@gmail.com> wrote: > On Wed, Sep 21, 2011 at 5:06 PM

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-21 Thread Brandon Galbraith
On Wed, Sep 21, 2011 at 5:06 PM, Patrick W. Gilmore wrote: > If you have a lot more, you can negotiate tiers. E.g. The first 10G is > $X/Mbps, but if you hit 20G, you get charged 2 * $Y (where Y < X, > obviously). This can lead to interesting situations where 19 Gbps costs > more than 20 Gb

Re: Question on 95th percentile and Over-usage transit pricing

2011-09-21 Thread Patrick W. Gilmore
On Sep 21, 2011, at 9:58 PM, Pradeep Bangera wrote: > I have a fundamental question regarding 95th percentile pricing. I will > make some prerequisite assumptions to set $/Mbps values before posting > my actual question. > > Eg., For 1Gbps commitment, I will pay roughly $3/Mbps. Similarly for > 1

Question on 95th percentile and Over-usage transit pricing

2011-09-21 Thread Pradeep Bangera
Hello NANOG, I have a fundamental question regarding 95th percentile pricing. I will make some prerequisite assumptions to set $/Mbps values before posting my actual question. Eg., For 1Gbps commitment, I will pay roughly $3/Mbps. Similarly for 10Gbps, 100Gbps I may pay $2/Mbps and $1/Mbps. This