What Is Interconnection?

Related problems: Our traffic to cloud providers and partners crosses the public internet and performance is unpredictable; Connecting our data center to several carriers and clouds is slow and expensive; We pay for many separate circuits that could be consolidated in one location

Interconnection is the practice of linking networks and systems so they can exchange traffic directly. For a business, that means connecting its network to the other networks it depends on (carriers, cloud providers, SaaS platforms, business partners) and to its own sites. It usually happens inside data centers, where those parties already have equipment. Common forms include private physical cross-connects, private cloud on-ramps, ports on an internet exchange point (IXP) (a shared switching fabric rather than a private one-to-one link), peering and data center interconnect links. The aim is a shorter, more predictable path than the general public internet.

At a glance

  • Interconnection covers your organization’s direct connections to other networks and between your own sites, typically inside data centers.
  • Forms include private cross-connects, cloud on-ramps, virtual connections on a provider fabric, peering, shared exchange ports and links between data centers.
  • Many organizations use it to reduce latency, improve reliability, control cloud data transfer costs or meet compliance requirements.
  • Where you place equipment largely determines who you can interconnect with and at what cost.

What problem it solves

Without a private interconnection option, traffic between your systems and the services you rely on travels over the public internet, through networks you have no relationship with. Performance varies with routing decisions you cannot see, outages elsewhere can affect you, and some cloud providers charge more for data that leaves their platform over the internet than over a private connection, depending on the provider and service.

Interconnection replaces some of those paths with direct links, private or through an exchange. If your equipment and a cloud provider’s on-ramp are in the same building, a cable or virtual circuit between them can carry the traffic. If your carriers are in the same facility, you can connect to several and fail over between them. If a key partner is present, you can exchange data privately. The result is often lower and steadier latency, more control over routing and fewer separate circuits to manage.

How it works

Physical cross-connects. In a colocation facility, the operator runs a cable (fiber or copper) between your cabinet and another party’s equipment, often through a meet-me room. This is the most direct form and is billed per connection.

Exchange ports. Joining an internet exchange gives you one port on a shared switching fabric that reaches many networks at once, for peering traffic with those that agree to it. It is not a private one-to-one link, but traffic goes directly to the peer network rather than through a transit provider.

Cloud on-ramps. Major cloud providers offer private connection services at selected data centers. You connect to their equipment there, directly or through a partner, and route traffic to your cloud environments without using the public internet. See cloud connectivity for the cloud-specific side.

Interconnection fabrics. Some data center operators and network providers run software-defined platforms that let you order virtual connections to clouds, partners or other sites from one physical port, often within minutes or hours once the port is in place.

Data center interconnect. Links between your own data centers, or between a data center and a cloud region, carried over dark fiber, wavelengths or Ethernet services.

Which of these are available depends on the facility. A carrier-neutral data center with many networks and clouds present usually offers more options than a single-provider site. For help designing the connections, see our Interconnection solution page.

When it matters for buyers

  • Moving significant workloads to the cloud. Private connections can make performance more predictable and, with some providers, reduce data transfer costs.
  • Choosing a colocation site. The networks, clouds and partners already in a building are often worth more than its rent.
  • Adding carrier diversity. Interconnecting with several carriers in one facility makes it easier to have more than one path out.
  • Exchanging data with partners. Payment networks, trading platforms, healthcare exchanges and supply chain partners sometimes prefer or require private links.
  • Consolidating circuits. Bringing many point-to-point circuits into one well-connected hub can simplify the network and the bill.

Questions to ask vendors

  • Which carriers, cloud on-ramps, exchanges and partners are present in this facility today?
  • What are the setup and monthly charges for a cross-connect, an exchange port and a virtual connection?
  • How long does it take to provision a cross-connect or virtual connection after we order it?
  • Do you offer an interconnection fabric, and which clouds and sites can it reach?
  • What charges will the other party add, such as cloud port fees or data transfer fees?
  • Is traffic on these connections encrypted, and if not, what options do we have?
  • How are redundant connections handled, and are they on physically separate paths and equipment?
  • Who troubleshoots a fault that spans the operator, a carrier and a cloud provider?

How it differs from carrier interconnection

The two terms describe different parties connecting. Interconnection, as used here, covers an enterprise’s own connections to carriers, clouds, partners and its sites. Carrier interconnection is how carriers connect to each other to hand off traffic, for example through network-to-network interfaces when a circuit uses another carrier’s last mile. You see carrier interconnection mostly indirectly, as a factor in off-net delivery and repairs, while enterprise interconnection is something you design and pay for yourself.

Frequently Asked Questions

Is interconnection the same as a cross-connect?
A cross-connect is one physical form of interconnection: a cable between your equipment and another party's inside the same data center. Interconnection is the broader practice, which also includes internet exchange ports, private cloud on-ramps, virtual connections through a provider's fabric and links between data centers.
Do I need to be in a data center to use interconnection?
It is easiest if you have equipment in a well-connected facility, because the parties you want to reach are often already there. Without a footprint, you can buy a circuit from your office to a data center and connect onward, or use a carrier or network-as-a-service provider that delivers private connections to clouds and partners.
What does interconnection cost?
Costs usually combine one-time setup fees and monthly charges for each cross-connect, port or virtual connection, plus charges from the party at the other end, such as a cloud provider's port and data transfer fees. Pricing varies by facility and provider, so get every party's charges before comparing options.
Is a private interconnection more secure than the internet?
A private connection keeps your traffic off the public internet for that path, which reduces exposure to some attacks and to internet routing problems. It is not encrypted by default in many cases, and it does not replace your own security controls, so decide whether to encrypt traffic and how to segment it.

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