The deal will see both providers exchange data, enabling customers on one provider’s network to send and receive internet content with customers on the other network more efficiently and cost effectively, according to Level 3.
The agreement will measure both the volume of traffic exchange and distance the traffic is carried by each network, in an approach called bit mile peering.
To keep the relationship between the two companies equal both networks will carry approximately the same bit miles of data.
"Level 3's primary focus is on providing quality service for internet consumers," said Jack Waters, CTO at Level 3. "We look forward to working with our peering partners to drive broader adoption of this bit-mile model to ensure fair and equitable interconnection. We are also working with providers of traffic-flow monitoring systems to make the measurement process straightforward and consistent across the industry."
There are also provisions within the agreement to add capacity and establish interconnection locations between the two networks to cater for growing traffic demand.