An Internet Exchange (IE) allows networks to exchange local Internet traffic, providing high-bandwidth and reducing the average delivery cost. Users located in the same city can exchange local traffic, without having to cross international borders, while greatly reducing latency.
Cost – traffic passing through an exchange is usually not required to pay a toll fee
Latency – if traffic is local the data is not required to travel to other cities or countries
Bandwidth – speed is most noticeable in regions that have underperforming long-distance connections due to limited routes to the Internet
When selecting an Internet Service Provider (ISP) in your region it might be a good idea to perform a quick background check and see if they’re on the IE.