Interconnect Billing Changes

July 31, 2004

in VoIP

Via Martin Geddes upcoming changes to interconnect policies. Restricting the flow to bits is not good for you and me.

an impending change in the US in the way carriers settle for internetworking. The traditional solution has been for payments to be made to the party terminating the call by the party that initiated it (who is collecting the money from you for making the call). The future approach is called “bill and keep”, where no such settlements are make……

Not only should the network be dumb as possible, but it should say as little as possible about how to make dollars flow in the opposite direction to the bits. In that way capitalistic evolution ensures only feasible and sustainable interconnect settlement models emerge, at both the connectivity and application layers.

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