On 10/28/2013 3:55 PM, Mike Hammett wrote:
So not only are the rural telcos getting tens of thousands of dollars per line, but they can't properly complete a call?


The problem is/was that they are perfectly capable of completing calls that reach them, but instead of sending calls to them directly via LD providers, calls were being handed off, by the originating carriers, to VoIP long distance providers who handed them off to other VoIP long distance providers... and the call often didn't go through, or went through with inadequate call quality.

Some funny games have been played with arbitrage, trying to get around high rural-carrier switched access rates.

The PSTN and Internet legal/business models are quite different, albeit complementary. In the Internet model, interconnection is all voluntary, and you can relay the packet through as many intermediaries as it takes, and it's all "best efforts" or blocked. It's not common carriage. The PSTN model, in contrast, is mandatory interconnection and delivery of calls at regulated intercarrier rates. (These are higher for small rural carriers than for large or urban carriers.) Rural call completion became a problem when people with Internet experience tried to game the PSTN to lower the cost per minute.

--
 Fred R. Goldstein      k1io     fred "at" interisle.net
 Interisle Consulting Group
 +1 617 795 2701

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