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CacheLogic
Advanced Solutions for P2P Networks
BROADCASTERS | AGGREGATORS | FILM STUDIOS | VIDEO PORTALS
P2P Media Summit
Addressing the cost and performance challenges
of digital media content delivery
Presentation by
Andrew Parker, CTO
([email protected])
Presentation | P2P Media Summit
MUSIC LABELS | SOFTWARE VENDORS | COMPUTER GAMES VENDORS
CacheLogic
Advanced Solutions for P2P Networks
Introduction to CacheLogic


Market leader in the provision of P2P management
solutions to the ISP/telco sector
P2P-Management


Protocol-based P2P recognition and on-network
caching solutions
Streamsight Analysis Network


Global Coverage and Support
Layer-7 application layer DPI network providing
Internet traffic analysis for ISPs
VelociX

Hybrid peer-assisted platform for digital media delivery

Large object, digital asset delivery service for content
owners: film, video, broadcast, music and software
vendors
Presentation | P2P Media Summit
Commercial Overview
 Headquartered in Cambridge, England,
regional offices in the USA and Singapore
 July 2006: closed $20 Million Series C funding
round
CacheLogic
Advanced Solutions for P2P Networks
P2P as future of distribution
CacheLogic Research
Internet Protocol Breakdown 1993 - 2006
P2P has been at the forefront of the
exponential growth in demand for on
line digital media
 1999 to present: fuelled by Napster,
KaZaA, eDonkey and BitTorrent
 More than 60% of P2P traffic is video
 Asia - 50% Objects > 2.5Gb !!
CacheLogic Research
Breakdown of File-Types on Major P2P Networks - 2006

P2P usage is widespread and growing
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Continuing Impact on ISPs
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Presentation | P2P Media Summit
2004 – 3 million unique IP addresses in 30 days
2006 – 3 million unique IP addresses in 8 days
50-65% of downstream traffic is P2P
75-90% of Upstream Traffic is P2P
CacheLogic
Advanced Solutions for P2P Networks
P2P is a global phenomena
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Why is P2P so attractive ?

MP3 Single (e.g. iTunes)
Typical MP3 file size
5MB
Commercial value
$1.00
Value/data density
$0.20 per MB/
$200 per GB
DVD - 5Mbps x 90 minutes
Scalability

Existing distribution and streaming technologies
penalise content owners for success!

The economics of P2P delivery are much closer to
broadcast economics
3.5GB
Rental Model:
Commercial value
~ $3.50
Value/data density
$1 per GB
Purchase Model:
Commercial value:
$16.00
Value/data density
$4.57 per GB

Decreasing Revenue per GB

 Big disparity between Audio and Video
 HD will make this problem even worse
iTunes
 $1.00 (5Mb Audio)
 $1.79 (500Mb Video)
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Sounds Great….But
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Today’s Internet is not Designed for Symmetric Traffic
 The Internet has been built
on the premise of core-toedge distribution
 High Capacity Data
Centres, Large Core,
Asymmetric Small Edge
 Cost and performance
optimised by Peering and
Private interconnects with
content
 P2P places the burden of
content distribution on the
access network
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Broadband Access Network Design - DSL
 ADSL and Cable modem were designed
for asymmetric traffic
 Web
 VOD
 ADSL
 Download <7Mbps
 Upload < 800kbps
 11:1
 ADSL2+
 Download <24Mbps
 Upload < 1Mbps
 24:1
 Asymmetry is increasing
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Impact of P2P on Service Providers – Transit/Peering
 50-65% of downstream traffic is P2P
 P2P is expensive bandwidth
 In most countries 90% of P2P traffic
crosses international boundaries
 P2P applications aggressively
consume all available bandwidth
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Impact of P2P on Service Providers – Access
 P2P is inherently symmetrical
 Most traditional protocols are download
orientated (e.g. web)
 This makes Peer-to-Peer a huge problem
for last mile providers
 Responsible for 75-90% of upstream/last
mile traffic on the network.
 But … I thought P2P was
making efficient use of
“underutilised” upstream
capacity in the network
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
VelociX: introduction
BROADCASTERS | AGGREGATORS | FILM STUDIOS | VIDEO PORTALS | MUSIC LABELS | SOFTWARE VENDORS | COMPUTER GAMES VENDORS
World’s first multi-protocol peer-assisted media
delivery platform - creating an environment
for secure, scalable and cost effective
media distribution to mass and niche
markets

Economic benefits and scalability of P2P
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Resilience, accountability and efficiency of a physical
delivery network
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Resolves ISP Neutrality
VelociX Performance Statistics:
Comparison of content download times
pure P2P vs. VelociX peer-assisted delivery
 Key Benefits:
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High-speed delivery
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Mass audience scalability

Cost-effective large object distribution
Presentation | P2P Media Summit
Parameters:
60 minutes television programme (sample 1 - encoded at
1Mbps and sample 2 – encoded at 2Mbps) downloaded
over a 10Mbps connection
CacheLogic
Advanced Solutions for P2P Networks
CacheLogic, NTL, BitTorrent
Presentation | P2P Media Summit
How it Works
Content
P2P
Server
Legitimate content provided by the
service is placed on the Servers
Tracker
The Tracker works as normal to find
Peers that can support the download
Server
Server
Look Up
If it is legitimate content, a cache is
added into the Peer group.
The Results of the Trial
content: Film H
comment: Unbelievable speed! 18 mins for a 1.2Gb file. Awesome!
content: Episode 3
comment: 350mb in 5mins! epic!
content: Episode 2
comment: 350mb in 7 mins!!!!???? awesome!!!
• Trialists on a 10 MB/s service saw a x14 average increase
• Trialists on a 2Mb/s service saw a x9 average increase
• Trialists on a 1Mb/s service saw a x6 average increase
It works! No longer upload constrained (& less upstream traffic)
CacheLogic
Advanced Solutions for P2P Networks
Summary
 Economics for existing content distribution are broken, and will get worse as content
continues to grow.
 P2P can resolve the economic challenges, but is transferring the burden of the cost
elsewhere…. The ISP
 The ISPs interests can also be balanced, ala NTL


Reduced costs
Increased legal content to drive network usage and stop ISPs becoming commoditised bit-pipes
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Thank You!
Presentation | P2P Media Summit
CacheLogic
Advanced Solutions for P2P Networks
Traditional Content Delivery vs. P2P
Consumer
Consumer
Access
Access
Backbone
Backbone
Host
Host
Content
Content
Content Flows like this
But in a P2P world it flows like this
Presentation | P2P Media Summit