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Interesting. At 2 cts/GB (as opposed to the usual 14 or so) I wonder if there is a market setting up a service reselling this traffic. Let's say I do all my hosting on AWS, but host a proxy (or a network of proxies) on the end of a direct connect line (or lines). This way you could lower your traffic costs. Would this work?

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You are going to pay for the bandwidth again coming out of the DC - so it all depends on how cheap you can get it from Equinix for your other dedicated boxes.

If they're in the US they probably have access to a HE feed. That's $1/mbit. You'll probably get higher quality transit for < $20/mbit. That's stupidly cheap compared to ec2 prices.

What's more interesting is why they're charging per gig not per mb/second.

Also interesting is that this is a routed service as far as I can see....

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