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Timstone said:
Hahaha... now that's a great idea. There should be a transportation network soo big it could handle about 500 million people at once. Now that's a truelly mammoth undertaking. How to build such a monstrosity, how to maintain it, how to pay for it's construction?! 
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Quite simply, make it distributed.
Make the ring a bunch of stories thick. Throw in a bunch of elevators, skyscraper-style in a pattern across the landscape.
Open air up top. Shops and stuff one floor down. Sleeping quarters below that. Services and cargo in the lower-middle. Armor on the very bottom.