In a recent statement, the Chief Executive Officer of the Internet Exchange Point of Nigeria (IXPN), Muhammed Rudman, has announced that the country has the potential to save a significant sum of money if all of its internet content is hosted locally.
The latest report from IXPN indicates that Nigeria could save a minimum of $40 million each year through local internet hosting. This development comes as the Exchange Point achieves a milestone of 500 gigabytes per second (Gbps) of internet traffic, demonstrating a substantial increase in local hosting.
Compared to the 300 Gbps recorded in the previous year, this 500 Gbps traffic marks a significant improvement. Rudman attributes this achievement to the participation of various global and local content providers who are exchanging traffic locally through the exchange point.
“By accessing traffic or content at IXPN, the cost per Mbps per month is approximately $27 less than it would be if accessed abroad. When considering the amount of traffic exchanged in 2020, this translates to savings of over $40 million per year,” Rudman explained.
These substantial savings have led to the expansion of numerous Internet Service Providers (ISPs) and the creation of opportunities for new ISPs to enter the market. Consequently, this has significantly increased the overall volume of locally-generated internet traffic.
