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Determining charges once a VoIP call is transferred to the PSTN

Patrick Ferriter EXPERT RESPONSE FROM: Patrick Ferriter

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QUESTION POSED ON: 24 March 2004
Once a VoIP call is transferred to the PSTN how do IXC's and local telephone companies determine if there are any terminating charges that need to be applied?

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A service provider typically partners with other service providers or partners with a clearinghouse provider which develops partnerships with other service providers for them. These partnerships allow a service provider to expand their reach and provide more points of access to the PSTN. Service providers negotiate contracts with each other and determine a rate to charge one another based upon the number of minutes of network usage. When a call connects through a service provider's network a billing system within that provider's network keeps track of the call duration. Service providers reconcile the number of calls (minutes) connected through their networks and bill each other appropriately.


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