SharePoint search - Reduce network traffic

Scenario:
http://hostname1.com is an intranet site is hosted on an internal Server 1. The host file on server has an entry to make sure all requests made to hostname1 points to the same server, 
127.0.0.1 hostname1
However each time the SharePoint search crawler runs all requests made to http://hostname1 is first made to the proxy which then redirects it back to Server 1 which unnecessarily increases load on the network and the proxy introducing performance issues.


Solution:
- Review the corporate proxy script (if you have one) used for IE on the server and make sure it does not send intranet request to the proxy.


- If the above does not solve the problem, follow below steps
        => Grant search content access local server rdp access on Server 1
        => Login to the server with the search content access account 
        => Open IE and uncheck "Automatically detect proxy"
        => Remove the search content access account rdp access to Server 1
I am very sure the above steps can be handled differently by editing the registry for the local machine which is something I was not able to uncover so far.