...
Comparison of AWS Direct Connect, Azure ExpressRoute, and Google Cloud Interconnect connectivity options.

As businesses increasingly migrate workloads to the cloud, network connectivity becomes a critical factor in ensuring performance, security, and reliability. While traditional internet-based connections work for many applications, they often introduce latency, security concerns, and, as a result, unpredictable performance. To address these challenges, Direct Connect options from major cloud providers offer dedicated, private network connections to cloud resources. In this guide, we’ll explore Direct Connect solutions in detail from AWS, Azure, Google Cloud, and other leading providers, helping you choose the best option for your cloud strategy.

What is Cloud Direct Connect?

Direct Connect is a private, high-bandwidth network connection that links an organization’s on-premises data center, colocation facility, or remote office directly to a cloud provider’s infrastructure. In a data center or colocation facility, this is done with a cross-connection from your equipment to the cloud provider’s gateway or connection partner. Furthermore, for workplaces and remote sites, network connectivity is available using third-party connection partners, ISPs, and telecom carriers. These direct networking options include wavelength services, EPL, VPLS, EVPLS, or MPLS VPN services. Unlike routing traffic over the public internet, Direct Connect provides a more secure, reliable, and low-latency point-to-point dedicated network connection to cloud services.

Dedicated vs Hosted (Partner) Direct Connect Options

Most cloud providers offer two main ways to connect: Dedicated (direct physical connection) and Hosted / Partner (through a third-party connectivity provider). Specifically, understanding the differences between these models helps you choose the right path based on your budget, speed requirements, and control needs.

Feature Dedicated Connection Hosted / Partner Connection
Ownership You get your own private physical port at the cloud provider’s location Shared port managed by a third-party connectivity partner
Bandwidth / Speeds Higher maximum speeds (up to 400 Gbps) Typically up to 50 Gbps (varies by partner and location)
Performance & Isolation Overall best performance and full isolation (single-tenant) Good performance, but shared infrastructure
Setup Time & Cost Higher upfront cost and longer lead time Lower entry cost and faster to deploy
Best For Large enterprises, high-bandwidth workloads, maximum control, and security Smaller organizations, testing, or when lower-to-medium speeds are sufficient
Availability Limited locations in general (major colocation facilities) Available in many more locations via partner networks

Note: Some providers use slightly different naming for Hosted/Partner connections (e.g., AWS “Hosted Connection”, Azure “ExpressRoute via Provider”, Google “Partner Interconnect”, Oracle “FastConnect Partner”). 

Why Businesses Choose Direct Cloud Connections

For most enterprises, the decision to move away from public internet routing toward Direct Connect options is rarely just about speed; it’s about creating a foundation for reliable, enterprise-grade hybrid cloud architecture. Here are some key reasons why it’s a smart choice.

Improved Performance & Reliability

  • Lower Latency: Direct Connect bypasses the public internet, reducing latency and improving network performance. Specifically, these improvements vary based on your region and the physical distance between your site and the Direct Connect POP location.
  • Higher Speeds: Additionally, it provides dedicated bandwidth, avoiding congestion issues and slower speeds associated with internet connections. Speeds up to 100 Gbps or higher (including 400 Gbps in select locations) are available for most direct connect cloud provider options.
  • Consistent Performance: Unlike VPNs over the public internet, direct connections offer stable and predictable speeds. Issues like latency, jitter, and packet loss are all significantly reduced with dedicated layer 2 network connections.

Enhanced Security & Compliance

  • Private Connection: With Direct Connect, there is a dedicated link between a business and its cloud provider, therefore reducing exposure to internet-based threats.
  • Compliance & Data Protection: In addition, there is more control over data routing and encryption to meet compliance requirements (e.g., GDPR, HIPAA, PCI-DSS). This is essential for industries with strict security regulations like finance, healthcare, and government.

Significant Cost Savings

  • Lower Data Transfer Costs: In general, cloud providers often charge lower rates for data transfer (per GB) over direct connections compared to standard internet-based connections. In most cases, ingress (upload) data usage is free, and pricing is based on egress (download) usage as well as port fees.
  • Less Need for VPNs: By using a dedicated link, businesses can reduce their dependency on expensive VPN solutions.

Scalability & Flexibility

  • Customizable Bandwidth: Businesses can scale their connection speeds based on demand while optimizing costs and performance. Direct connect speeds range from 1 Gbps to 100 Gbps and up to 400 Gbps in select locations are typically available.
  • Multi-Cloud Connectivity: Moreover, it supports multi-cloud connectivity. These connections can be integrated with multiple providers simultaneously, which optimizes costs and streamlines hybrid cloud strategies.

Better User Experience

  • Improved Cloud Application Performance: Ultimately, these links lead to improved cloud application performance. Critical tools like VoIP and real-time analytics perform significantly better with a low-latency connection.
  • Seamless Hybrid Cloud Integration: Organizations running workloads on both on-premises infrastructure and the cloud benefit from fast, reliable data transfers that feel local as a result.

Cloud Direct Connect vs. Internet VPN: Key Differences

Feature Direct Connect VPN (Virtual Private Network)
Connectivity Private, dedicated physical connection Encrypted tunnel over the public internet
Performance High speed, low latency, consistent bandwidth Variable speed, subject to internet congestion
Security More secure as data never traverses the public internet Encrypted but still travels over public networks
Reliability High availability with SLAs Dependent on ISP quality and internet stability
Cost Higher upfront cost but lower long-term egress fees Lower initial cost but higher long-term operational costs
Best for Enterprises with high data transfer needs, hybrid cloud setups, and security-sensitive workloads Small to mid-sized businesses, remote access, and less data-intensive applications

Top Direct Connect Cloud Options

AWS Direct Connect

AWS Direct Connect is a dedicated network service that allows you to establish a private, high-speed, and low-latency connection between your on-premises data center or colocation environment and AWS. Instead of relying on the public internet, Direct Connect provides a direct fiber link to AWS cloud services, improving performance, security, and reliability.

  • Connection Types:
    • Dedicated Connection: 1 Gbps, 10 Gbps, 100 Gbps, or 400 Gbps physical fiber connection.
    • Hosted Connection: Sub-25 Gbps bandwidth via an AWS Direct Connect Partner.
  • Use Cases: Hybrid cloud deployments, high-speed data transfer for large workloads, secure connectivity for enterprise applications, as well as disaster recovery and backup strategies.
  • Integration: Also integrates with AWS Transit Gateway, AWS VPN, and VPC Peering.
  • Redundancy & High Availability: AWS recommends establishing multiple Direct Connect connections in different locations to ensure fault tolerance.
  • Security: Direct Connect offers MACsec encryption for additional security at the physical layer.

Microsoft Azure ExpressRoute Direct

Azure ExpressRoute is a dedicated, private network connection between your on-premises infrastructure and Microsoft Azure, bypassing the public internet. As a result, it offers lower latency, higher security, and more reliable performance for enterprise workloads overall.

  • Connection Options:
    • ExpressRoute Direct: Connects directly to Microsoft’s global backbone using 10 Gbps, 100 Gbps, or 400 Gbps links.
    • ExpressRoute via Provider: Uses a third-party connectivity partner.
  • Use Cases: Hybrid cloud solutions integrating with Microsoft 365 and Dynamics 365, financial services requiring low-latency access to Azure data centers, disaster recovery and business continuity planning, as well as large-scale data migrations to Azure.
  • Key Benefit: Provides global connectivity to Microsoft services, particularly Azure, Microsoft 365, and Power BI.
  • Resiliency & SLAs: ExpressRoute offers up to 99.95% SLA when configured for high availability.

Google Cloud Interconnect

Google Cloud Interconnect is a dedicated, private network connection that links your on-premises infrastructure to Google Cloud (GCP). Specifically, it bypasses the public internet, providing low-latency, high-bandwidth, and secure access to Google services, ideal for enterprises with hybrid or multi-cloud environments.

  • Connection Types:
    • Dedicated Interconnect: Direct 10 Gbps, 100 Gbps, or 400 Gbps fiber links.
    • Partner Interconnect: Up to 50 Gbps connections via third-party providers.
  • Use Cases: High-performance AI/ML workloads on Google Cloud, secure low-latency access to Google Kubernetes Engine (GKE), data-intensive applications requiring high throughput, as well as streaming and content delivery networks.
  • Performance Considerations: Google provides a 99.9% SLA for Dedicated Interconnect, while redundancy is recommended for improved reliability.
  • Encryption: Google offers Cloud VPN over Interconnect for encrypted traffic.

IBM Cloud Direct Link

IBM Cloud Direct Link is a dedicated, private network connection that links your on-premises infrastructure or colocation environment to IBM Cloud, likewise bypassing the public internet. This provides significantly lower latency, higher security, and more reliable performance, making it ideal for hybrid cloud deployments and enterprises with stringent data security requirements.

  • Connection Types:
    • Direct Link Dedicated: Private fiber connectivity up to 10 Gbps.
    • Direct Link Connect: Partner-managed connectivity.
  • Use Cases: Enterprises using IBM Cloud for AI and blockchain solutions, secure hybrid cloud connections, as well as workloads requiring consistent low-latency access to IBM Cloud.
  • Security: IBM Cloud Direct Link integrates with IBM Cloud security features, also providing strong data protection.
  • Performance: SLA-backed high availability with redundancy options.

Oracle Cloud FastConnect

Oracle FastConnect is a dedicated, private network connection that links your on-premises data center, colocation facility, or other cloud environments directly to Oracle Cloud Infrastructure (OCI). It also bypasses the public internet, offering low latency, high security, and overall consistent performance, making it ideal for hybrid and multi-cloud deployments.

  • Connection Types:
    • FastConnect Direct: Direct connection at 1 Gbps, 10 Gbps, 100 Gbps or higher speeds (including 400 Gbps in select locations).
    • FastConnect Partner: Connects through an Oracle-approved network partner.
  • Use Cases: Organizations running Oracle databases and enterprise applications, hybrid cloud environments integrating on-premises infrastructure with OCI, and high-performance computing (HPC) workloads, particularly those needing low-latency connectivity.
  • Security & Compliance: Ensures secure, private data transfers without traversing the public internet.
  • Performance: Provides predictable, high-bandwidth connections with minimal packet loss overall.

Cloud Direct Connectivity Cost Comparison – 2026

Provider Option Port Pricing Data Egress Ingress Notes / Partner Fees
AWS Direct Connect Dedicated $0.30/hr (1 Gbps) – $2.25/hr (10 Gbps) – $22.50/hr (100 Gbps) – $85/hr (400 Gbps) $0.02/GB Free Redundant links are billed the same as the primary
AWS Direct Connect Partner Varies by partner $0.02/GB Free The partner may add setup or cross-connect fees
Azure ExpressRoute Direct $6,000–$8,500/mo (10 Gbps) – $50,000–$80,000/mo (100 Gbps) – $150,000+/mo (400 Gbps) $0.025–$0.14/GB (varies by zone) Free Premium circuits extra
Azure ExpressRoute Partner Varies by partner $0.025–$0.14/GB (varies by zone) Free Lower entry cost
Google Dedicated Interconnect $2.328/hr (10 Gbps) – $23.28/hr (100 Gbps) – $85/hr (400 Gbps) $0.02–$0.11/GB Free Single-tenant fiber
Google Partner Interconnect Varies by partner $0.02–$0.11/GB Free Logical isolation via VLAN (up to 50 Gbps available)
IBM Direct Link Dedicated Metered by port; varies by region Charged per GB Free Single-tenant physical fiber
IBM Direct Link Connect Partner Partner-specific; billed monthly Charged per GB Free Shared infrastructure
Oracle FastConnect Dedicated $0.2125/hr (1 Gbps) – $1.275/hr (10 Gbps) – $10.75/hr (100 Gbps) – higher for 400 Gbps Free Free No egress charges; over 90 partners
Oracle FastConnect Partner Varies by partner Free Free Logical isolation via VLAN

Cloud Implementation Strategies to Use

  • Hybrid Cloud Approach: Combining direct cloud connections with traditional VPNs simultaneously to optimize cost and performance overall.
  • Multi-Cloud Connectivity: Businesses leveraging multiple cloud providers still must integrate different direct connect services efficiently.
  • Network Automation: Using SD-WAN and software-defined networking to optimize routing across direct connections.

Best Practices for a Successful Direct Connect Deployment

Successfully deploying a direct cloud connection requires thorough planning, security considerations, ongoing monitoring, and cost management. By following these best practices, such as defining clear objectives and selecting the right provider, you can maximize your return on investment. As a result, you ensure a reliable, efficient, and cost-effective solution for your cloud workloads. This approach also allows you to implement robust security and testing protocols, as well as optimize both performance and long-term costs.

  1. Define Clear Objectives: Always set goals for performance, security, and compliance to specifically align with business needs.
  2. Assess Infrastructure Compatibility:  Evaluate your current network setup, bandwidth needs, and redundancy options to ensure seamless integration.
  3. Implement Strong Security Measures: Use encryption, access control, and private IPs to safeguard your data and maintain compliance.
  4. Design a Scalable and Resilient Architecture: Plan for high availability with redundant connections and load balancing to ensure continuous performance overall.
  5. Monitor and Optimize Performance and Costs: Regularly track network performance and manage costs through cloud-native or third-party monitoring tools and commitment-based pricing.

Frequently Asked Questions

Is Direct Connect more secure than a standard VPN?

Yes. While a VPN is encrypted, it still travels over the public networks with shared infrastructure. A Direct Connect cloud connection is a private, dedicated physical circuit that ensures your data never traverses public networks, significantly reducing exposure to security threats

Which cloud provider offers free data egress?

Oracle Cloud Infrastructure (OCI) is unique among major providers because it does not charge for data egress (outbound data transfer) when using FastConnect. In general, providers charge a discounted per-GB rate for this traffic.

What is the difference between a Dedicated and Hosted connection?

A Dedicated Connection provides a physical fiber port solely for your organization (up to 400 Gbps), while a Hosted Connection is a logical “slice” of a port managed by a connectivity partner (typically supporting speeds up to 50 Gbps).

How long does it take to provision a Direct Connect circuit?

Hosted or Partner-based connections in particular can often be provisioned in minutes or hours through software-defined portals. A Dedicated Connection usually requires physical fiber cross-connects at a data center, which can take several business days to weeks, depending on the connecting site location (remote or in a datacenter).

Can I use Direct Connect for a multi-cloud environment?

Yes. By using a cloud-neutral colocation facility or a third-party fabric provider, you can establish direct links to multiple providers, such as AWS and Azure, simultaneously to support a hybrid or multi-cloud strategy.

Final Thoughts on Direct Cloud Connectivity

Direct cloud connectivity solutions like AWS Direct Connect, Azure ExpressRoute, and Google Cloud Interconnect provide enterprises with significantly faster, more secure, and higher network reliability. Ultimately, whether you’re running hybrid cloud workloads, data-intensive applications, or mission-critical systems, choosing the right direct connect option can significantly improve performance. In addition, investing in these solutions can drastically reduce operational costs. With the growing importance of secure networking, businesses must carefully evaluate their options to ensure they align with long-term goals. Finally, the right choice ensures seamless cloud integration, a better user experience, and enhanced operational efficiency overall.

Need help selecting the best direct connect option for your business? Contact us today for expert guidance on cloud networking solutions!