Friday, December 17, 2010

Comcast, Level 3 Dispute is Still About Money

Comcast says "Level 3 and Comcast engineering teams held several in-person discussions over the past 48 hours to discuss potential significant revisions to parts of our peering and direct connect architecture."

Comcast says the engineers "developed a potential new and different architectural approach" that Comcast wanted to test with Level 3 as soon as next month. The solution would require both to make a "relatively modest investment" that would allow both companies to better understand the traffic, routing, and economic considerations.

Comcast also offered to keep the economics of the existing newly executed agreement at 'no cost' until the companies learned the actual costs of the new approach during this trial.

"Level 3 chose to leave the meeting when we wouldn't agree to a 'zero cost' outcome," Comcast said.

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