International Interconnection Architecture for OTT Services in Latin America: Part 2

In our first installment we explored how backbones, datacenter interconnection and international peering strategies form the basis for efficient distribution of OTT content across continental borders. In this second part, we will delve into additional critical components that complete an end-to-end distribution architecture: multinational CDNs, Internet Exchange Points (IXPs), real-time analytics and a case study demonstrating the measurable impact on end-user experience.

1. Multinational CDNs: bringing global content to the local user

CDNs implement distributed architectures that store copies of content in multiple geographic locations, allowing users to access content from the nearest server, regardless of the content's origin.

a. Key benefits for transnational operations:

• Minimized cross-border latency: Content originating in the US or Europe is served from points of presence close to the Latin American user.
• Internationally balanced load: Traffic is distributed among multiple servers in different regions on demand.
• Geopolitical resiliency: Geographic redundancy protects against localized outages in specific regions.

A well-implemented CDN strategy can reduce initial load times for video services by up to 40%, a critical factor considering that every additional second of buffering increases the abandonment rate by 5.8% according to Conviva (2023).

And this is why, according to the study conducted by FMI - future market insights (2024) for the OTT market in Colombia and Peru, OTTs choose their providers prioritizing latency, reliability and bandwidth, indicating a strong focus on user experience and service continuity.

2. Internet Exchange Points (IXPs): International strategic hubs

IXPs function as digital marketplaces where multiple networks interconnect to exchange traffic locally. For international OTT services, the benefits of using strategic IXPs include:

• Localization of international traffic: National and regional traffic is kept within the region, minimizing unnecessary data trips between continents.
• Cross-border cost optimization: Costly international transit is reduced.
• Improved global performance: Reduced hopping between networks in different countries.

InterNexa actively participates in the main IXPs in Colombia and Peru, facilitating efficient interconnections with local ISPs and optimizing OTT content delivery for international providers.

3. Real-time analytics with regional segmentation

Real-time analytics tools with regional segmentation capabilities provide:

Geographically segmented critical metrics:

• Comparative quality of experience (QoE) metrics across regions.
• Effective bit rates based on local infrastructure
• Buffering events correlated to regional network conditions
• Playback startup latency segmented by ISP provider

The ability to analyze this data with regional granularity allows for dynamic adjustments that optimize the end-user experience considering the particularities of each Latin American market.

Practical Example: InterNexa's infrastructure as an end-to-end solution for international OTTs

To illustrate the concepts discussed, let's analyze how a global OTT provider from the US or Europe could optimize its content distribution using InterNexa's infrastructure:

Use case: International video streaming service.

Let's imagine a streaming service based in California or London that wants to expand into Colombia and Peru, facing the challenge of offering 4K streaming with minimal buffering. An optimized architecture using InterNexa's infrastructure could include:

Content initially enters via submarine cables where InterNexa maintains dedicated capacity, connecting directly to the OTT provider's data centers in North America or Europe via optimized routes that reduce transoceanic latency.

b. Transnational Hybrid Topology Implementation

• Origin datacenter in USA/Europe maintains master content.
• Primary datacenter in Bogota (Colombia) for regional centralized processing and storage
• Secondary datacenters in Lima (Peru) and Medellin (Colombia) for local distribution
• Edge nodes in secondary cities for caching optimized for local consumption patterns

All interconnected through InterNexa's fiber optic network with redundant 100G/400G links, using DWDM technology that guarantees:

• Ultra-low latency (<5ms) between regional datacenters.
• Optimized latency (<70ms) between intercontinental datacenters.
• Scalable capacity according to the specific demand of each market
• Security through optical encryption complying with international standards.

Once in Latin American territory, the content travels through InterNexa's backbone network that connects the main cities of Colombia and Peru with redundant high capacity links (100G/400G), guaranteeing minimum latency between urban centers and experiences consistent with those offered in developed markets.

The OTT provider deploys cache servers in multiple InterNexa points of presence (PoPs), strategically located according to Latin American consumption patterns in:

• Colombia: Bogota, Medellín, Cali, Barranquilla, Popayán
• Peru: Lima, Arequipa, Trujillo

These nodes store not only the most popular content globally, but also the content with the highest specific demand in Latin America, optimizing the experience for local preferences.

InterNexa facilitates direct connection with ISPs and last mile providers through its presence in IXPs such as:

• NAP Colombia
• NAP Peru
• Peru IX

This allows traffic to end users to take the most direct route possible, minimizing latency and optimizing the experience.

Using InterNexa's traffic visibility and analysis tools, the OTT provider can:

• Identify specific consumption patterns by Latin American region.
• Anticipate demand peaks based on relevant local events
• Dynamically adjust resource distribution considering Latin American consumption habits.

This integrated architecture could provide measurable improvements for international suppliers:

• Latency reduction: 50-70ms decrease in response times compared to solutions without regional presence.
• Buffering rate: 30% reduction in rebuffer events, significantly improving NPS.
• Video quality: 25% increase in HD playback time, comparable to developed markets.
• User satisfaction: Measurable increase in viewing and retention time.
• Operational resiliency: Ability to maintain 99.999% service even during partial infrastructure failures
• Cost optimization: Reduction in international distribution costs compared to solutions without regional optimization.
  
  

4. Technical considerations for international implementation

Transnational Datacenter Interconnection Protocol

For global OTT services, it is crucial to select the appropriate protocols for interconnection:

1. DCI (Data Center Interconnection) optimized for variable latencies: specific protocols such as EVPN VXLAN allow extending L2 networks between intercontinental datacenters, facilitating workload and content mobility.
2. Dynamic multinational routing: Protocols such as BGP with optimizations for traffic engineering ensure that data always takes the optimal route considering variable geopolitical conditions.
3. MPLS/SR with international guarantees: Provides QoS guarantees and traffic isolation for different types of content across multiple jurisdictions.

Transmission protocols adapted to emerging markets

The choice between HLS, DASH, WebRTC or other protocols must be made considering the underlying network infrastructure. In networks with variable characteristics such as those found in some regions of Colombia and Peru, adaptive protocols such as DASH with profiles optimized for Latin American conditions offer better performance according to studies by Netflix Open Connect (2023).

Encryption and security with regional regulatory considerations.

Topological design must consider DRM and encryption implementation, minimizing the impact on latency while complying with local regulations. InterNexa offers solutions that maintain security without compromising performance, adapting to country-specific regulatory requirements.

Conclusion: The Competitive Advantage of a Topology Optimized for International Expansion

In the competitive global OTT market, the Latin American user experience is the decisive factor for the success of international providers. Strategic network topology planning, leveraging robust infrastructures such as InterNexa's, offers substantial competitive advantages for North American and European companies:

• Optimized Latency for Regional Content: InterNexa's network is strategically designed to offer the lowest possible latency in Latin America. Our infrastructure combines high-availability, high-capacity OPGW fiber optics, multiple connections to submarine cables per region, and direct connectivity to the main regional IXPs. This, coupled with consolidated peering agreements with local operators and a wide availability of Edge nodes for the efficient deployment of CDNs, creates a robust ecosystem that guarantees the fastest access to the most demanded content in each region.
• Regional technical differentiation: User experiences comparable to developed markets in environments where connectivity can be variable.
• Optimization of international operating costs: Significant reduction in international transit costs and efficient distribution of resources between regions.
• Multinational scalability: Ability to grow rapidly in new Latin American markets with minimal technical frictions and adaptation to local conditions.
• Resilience to regional events: Increased ability to maintain service quality even during high-demand events or partial outages specific to Latin America.

The successful expansion of international OTT services in emerging markets such as Colombia and Peru depends not only on the content offered, but also - and perhaps more critically - on how that content reaches the end user across borders, oceans and diverse infrastructures. A network topology carefully designed for transnational operations, with efficient interconnections between intercontinental datacenters and supported by regional infrastructure providers such as InterNexa, can be the determining factor between global success and localized failure.

Contact InterNexa for international expansion

Considering expanding your OTT services from North America or Europe to Latin America? Our experienced multinational operations specialists are available to analyze your specific needs and design a customized solution using our world-class infrastructure that connects your global content to Latin American audiences.