Retry count and retry Interval fields in Business service (Http protocol)

Is retry count and retry Interval in OSB business services(Http protocol) defined for retrying the application errors or for communication errors?
Also even if my connection timeout is 0 I get an error response due to communcation issue in abt 2.5 mins.
Please explain.

- There is an explicit configuration on business service called "Retry Application Errors", if enabled application errors will also be retried.
- If timeout is not set on business service then domain level timeout configuration comes into effect which is by default of 180 sec i.e 3 mins.
Hope this helps.

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