This isn't specifically Linux networking, but I thought I would start here.

I recently created a new Linode, with the intention of replacing my current one. I wanted to install and configure the new one at my leisure, without having to shutdown the old one (and stop my incoming email) while doing so.

My previous Linode is in the Dallas datacenter. When I created the new one, I also specified that it should be in the Dallas datacenter, as I'm not far from it and my ping times are very low: 5-8 ms.

The strange part: the new Linode had a much higher ping time: 22 ms. So, I ran a traceroute. It appears there is a routing issue with the IP address of the new Linode, because it was bouncing frames from Dallas to Denver and back.

You might be thinking: no, there's something different between the Linodes. However, when I switched over from using the old Linode to the new one, I swapped the IP addresses. And, ping times to the new Linode are now very low.

Here are the traceroute's to demonstrate. First, the low ping time:

  1    <1 ms    <1 ms    <1 ms  [192.168.2.1]
  2     3 ms     4 ms     4 ms  10.33.34.59
  3     3 ms     4 ms     7 ms  G0-9-0-6.DLLSTX-LCR-21.verizon-gni.net [130.81.187.192]
  4     6 ms     7 ms     7 ms  so-5-0-0-0.DFW9-BB-RTR1.verizon-gni.net [130.81.199.34]
  5     6 ms     7 ms     7 ms  0.xe-8-1-0.BR2.DFW13.ALTER.NET [152.63.4.21]
  6     7 ms     7 ms     7 ms  ae7.edge2.dallas3.level3.com [4.68.62.33]
  7     8 ms     7 ms     7 ms  SOFTLAYER-T.edge2.Dallas3.Level3.net [4.59.36.94]
  8     7 ms     7 ms     7 ms  po32.dsr02.dllstx3.networklayer.com [173.192.18.231]
  9     7 ms     7 ms     7 ms  te2-4.dsr02.dllstx2.networklayer.com [70.87.255.126]
 10     8 ms     7 ms     7 ms  po2.car01.dllstx2.networklayer.com [70.87.254.78]
 11    13 ms     7 ms    12 ms  5a.7.1243.static.theplanet.com [67.18.7.90]
 12     5 ms     7 ms     7 ms  [destination IP #1]

And now the "scenic route":

  1    <1 ms    <1 ms    <1 ms  [192.168.2.1]
  2     4 ms     4 ms     4 ms  10.33.34.59
  3     6 ms     6 ms     7 ms  G0-3-1-7.DLLSTX-LCR-21.verizon-gni.net [130.81.188.52]
  4     6 ms     7 ms     7 ms  so-4-1-0-0.DFW9-BB-RTR1.verizon-gni.net [130.81.151.242]
  5     8 ms     7 ms     7 ms  0.xe-9-0-0.BR1.DFW13.ALTER.NET [152.63.4.13]
  6     6 ms     6 ms     7 ms  ae6.edge2.dallas3.level3.net [4.68.62.165]
  7     7 ms     7 ms     9 ms  vlan80.csw3.Dallas1.Level3.net [4.69.145.190]
  8     7 ms     7 ms     7 ms  ae-82-82.ebr2.Dallas1.Level3.net [4.69.151.154]
  9    23 ms    24 ms    24 ms  ae-2-2.ebr1.Denver1.Level3.net [4.69.132.105]
 10    26 ms    20 ms    22 ms  ae-11-51.car1.Denver1.Level3.net [4.69.147.67]
 11    39 ms    39 ms    39 ms  te1-5.bbr01.cf01.den01.networklayer.com [4.53.12.22]
 12    40 ms    39 ms    39 ms  ae7.bbr01.cf01.den01.networklayer.com [173.192.18.168]
 13    22 ms    23 ms    22 ms  ae12.bbr02.eq01.dal03.networklayer.com [173.192.18.138]
 14    21 ms    22 ms    24 ms  po32.dsr02.dllstx3.networklayer.com [173.192.18.231]
 15     *        *        *     Request timed out.
 16    22 ms    22 ms    22 ms  po2.car01.dllstx2.networklayer.com [70.87.254.78]
 17    22 ms    22 ms    22 ms  5a.7.1243.static.theplanet.com [67.18.7.90]
 18    21 ms    22 ms    22 ms  [destination IP #2]

Is there a routing problem at level3.net for IP #2? If so, is this something I should report? To whom/where do I report it?

You could submit a support ticket. Very quick response time. They will at least let you know if they see an actual route issue

If the packets are getting to their destination (especially with 22ms ping times), then I don't think there is really a problem to report. Why one route is chosen over another on the internet involves factors beyond simply minimizing delay, and I wouldn't be surprised if you get different results if you try again in a few hours.

The best place to open a ticket would be with the ISP you're paying to deliver the packet. Linode doesn't have direct control over the routes chosen by other networks, and Level3 probably won't give you the time of day if you're not their customer.

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