Peering not only for torrents, but development of regional data centres as well. Right now, if I get any content, it goes to US mostly, because its cheaper and much reliable for hosting. We need similar stuff here. And they should be connected to NIXI
From the ISP end, its a bit technical - each of the ISPs needs to maintain separate routes for India specific ASNs so they can route traffic with higher speeds - increased complexity. Another problem is that the ISP has to upgrade his infrastructure for the same - as an example, my cablewallah ISP uses 10/100 Mbps switches, while Fivenet uses 10/100/1000 ie Gigabit ones, plus would need better routing equipment.
For the consumer, imagine that you get high speeds on torrents - now imagine the same for websites, tv on demand, movies on demand, music on demand - it is an ecosystem that content providers could use [Google already does this, at least for me, I get speeds upto 1 MBps]. Of course, it goes without saying that costs (movies/music) too should be VFM & timely so people do not resort to piracy.
Also, one must not confuse this with net neutrality unless the routing equipment is specifically prioritizing commercial traffic & charging on content basis.
Airtel and Tata could stand to lose some money, but in the long term, it should not affect them too much, since peering requires you to have a cache here for global services.
As this is going OT - I would refrain from posting any more on this. If mods want, please split off this into a new topic.