How IP Transit Works 

Not all internet service providers are able to provide a wide internet reach without incurring huge costs. As part of the wholesale internet connectivity market, IP transit provides an alternative to help local providers and carriers offer a more superior service at a lower cost so complement their suite of connectivity services.  

What is the Internet 

It might be best to have a clear understanding of how the internet works.  

Servers are where information on the internet is stored. Through the internet, severs are able to connect to each other, even if they are located half way across the world. To access and view information on your device, an exchange of information needs to happen between a server and your device.  

To access the internet, a server or device requires an IP address. Through the use of a router, a request is sent to the server where your business website is located. Your phone’s IP address helps the server identify exactly where the requested information needs to go. Data is then copied from said server to your phone.  

In a nutshell, the internet consists of numerous of such servers making up a whole web of interconnected networks, working together to share information across the world. 

Where does IP Transit fit in all these? 

Your internet connection needs to go through one or more networks that are not a part of your internet provider’s, in order to successfully send to receive data through the internet. This is known as “transit”. Internet service providers allow for such connections to transit through their wide network in order to provide faster and smoother user experience when using the internet. This service is known as IP transit.  

Types of IP Transit Providers 

There are three main types of IP transit providers. They are classified by their capabilities via different tier levels.  

Tier 1 IP transit providers provide one of the best experiences for internet users. With a wide global reach expanding to different continents around the world, tier 1 IP transit providers have the ability to connect your business website to a wider global audience. 

In addition, all tier 1 providers across the world connect with each other. They allow devices on corresponding tier 1 providers to transit freely across one another. This means tier 1 connections need not jump from network to network each time a request for information is made. As a result of these shared routes, there is reduced overall connectivity costs for businesses who partner with a tier 1 provider.  

Tier 2 providers also have large networks consisting of numerous data centres, resulting in a wide reach for businesses that partner with them. Similar to tier 1 IP transit providers, tier 2 providers connect with each other freely so as to provide a wider reach than an individual provider is able to offer.  

If your business internet service provider is a tier 2, but you require a tier 1 network access to reach the final destination, usage cost will be incurred for the use of tier 1 access.  

Tier 3 IP transit providers tend to target local clients and service a particular region. Unlike tier 2 providers, tier 3 IP transit providers avoid incurring costs of using tier 1 access by purchasing a minor IP transit access on a tier 2 provider. 

Which IP Transit Service Provider Works Best for Your Business 

To provide the best experience for your growing customer base, you want to provide options that will support their needs as appetite for internet connectivity increases. This means ensuring you have a reliable network connectivity to offer that is reliable and priced competitively.  

5G Networks Provides Top Tier IP Transit Service 

When you partner with 5G Networks Wholesale, your business will enjoy the global reach of a tier 1 provider, as well as other tier 1 carriers including PCCW, Telstra Global, Telia, Ti Sparkle and AAPT. You will be able to offer lower latency internet access within Australia as well as to other major cities in the world, allowing for smoother internet experience. 

As a leading provider of digital services, we also offer proactive DDoS threat mitigation as a possible add-on to your IP transit service so as to better secure your internet connection service. For more specific information about our IP transit service, view our specification here.  

Speak to us today to learn more about how IP transit can be a beneficial product for your carrier business.