In Search of the Truly Interconnected Edge

In Search of the Truly Interconnected Edge

This RTInsights article “In Search of the Truly Interconnected Edge” explores the evolution and strategic importance of interconnected edge computing: a distributed model where data processing happens closer to where data is generated, and multiple networks interconnect at shared data center “carrier hotels.” The concept emerged as telecom carriers needed neutral points to peer their networks (e.g., One Wilshire in Los Angeles or 111 8th Avenue in New York), enabling reduced latency for applications that process large traffic volumes such as IoT, streaming video, and real-time analytics. True interconnection requires not just physical proximity of networks, but active peering agreements so data can exchange locally without detouring through distant metros.

The article advises organizations to evaluate data center providers based on the breadth and quality of their interconnectivity, especially in carrier hotels where carriers and service providers physically meet. Choosing partners who encourage efficient peering and avoid restrictive pricing models (“walled garden” access fees or “long strawing” cross-connect charges) can significantly improve performance and cost. For national deployments, providers offering carrier hotel presence across multiple key markets are optimal. Ultimately, interconnected edge computing provides a foundation for scalable distributed computing, enabling networks and applications to deliver high performance and low latency — critical for modern digital services and IoT ecosystems.