A comparison of ISP and MNO interconnection models

Abstract

Network operators - being it fixed or mobile - are in continuous need to keep up with a variety of customer requirements while seeking efficient ways to interconnect with other networks. This issue raises several, not only technical challenges that are addressed differently depending on the legacy of operators. This paper conducts a holistic comparison of two interconnection models used for global Internet Protocol (IP) service delivery: Internet Service Provider (ISP) interconnections in an unmanaged, public model and Mobile Network Operator (MNO) interconnections in a managed, closed model. To lay out technical and business interfaces of these models, Value Network Configurations (VNCs) are utilized and the key characteristics of each model are analysed from technical, economic and regulatory perspectives. The comparison shows that these two models do not employ broadly divergent approaches to accomplish a global reach, as one could assume. However, fundamental differences and how these features induce each model to evolve in their own trajectories cannot be omitted either. By comparing the existing models that represent two different worlds, the current drawbacks can be addressed, and thus future implications of emerging models, such as IP eXchange (IPX), can be rationally anticipated.