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RockyBB
Premium
join:2005-01-31
Steamboat Springs, CO

SIP long distance plan for enterprise IP-PBX

If you’re now spending $500 per month or more in domestic long distance, and you have an IP PBX (or open source system like Asterisk) and plenty of bandwidth, you can now buy long distance minutes the way the VOIP providers do … by the minute with pricing based on termination carrier.

A little known practice in long distance is that the local company handling the distant end of your call sets a termination price that is charged to your long distance company. Some local companies charge a lot per minute to help subsidize their low prices to their own customers. You are likely paying a “blended” or single rate per minute – which you think protects you from the uncertainty of the higher rates, but in reality is bulked up by the retail long distance companies to protect them from your calling patterns. You might even remember seeing a clause in your long distance contracts that designate a 80/20 or 70/30 rule, or maybe a “high cost area surcharge” to recover extra costs if you make too many calls to places with expensive termination carriers.

Why can you get free service from freeconferencecall.com? Why is MagicJack only $19.95/year? Why can you get inexpensive PRI circuits from XO and Paetec? Because calls to their phone numbers are charged extra compared to Bell numbers. That extra revenue subsidizes their customers … and you are paying for it in your long distance blended rate.

Carriers buying millions of long distance minutes on a wholesale basis don’t want to pay anything extra … so they buy based on termination providers. Now this same type of pricing is available to enterprise accounts with an IP PBX or those who can otherwise use a SIP interface. Add this to your LCR table, and use it where it makes most sense...

Here’s some example state to state per minute pricing:
…to New York, Verizon numbers $0.00733
…to New York, XO numbers $0.01361
…to New York, MagicJack numbers $0.01782
…to New York, VerizonWireless numbers $0.006
…to Atlanta, AT&T/BellSouth numbers $0.00717
…to Atlanta, Level3 numbers $0.01214
…to Dallas, AT&T/SBC/MetroPCS and TimeWarner Cable numbers $0.006
…to Dallas, AT&T Wireless numbers $0.08433 (ok)
…to Los Angeles, AT&T/SBC numbers $0.0085
…to Los Angeles, Sprint PCS numbers $0.00569
…to Los Angeles, TW Telecom numbers $0.01275
…to Chicago, Global Crossing numbers $.01233
…to Chicago, Paetec numbers $.01618
…to Lake Park IA, Great Lakes Communications numbers $0.08433

Service is prepaid to protect from toll fraud, no short duration surcharges are added, and calls are rated to the 6th decimal place. There’s only a $5 per reserved path monthly minimum at these rates (subject to an account level $250/month usage minimum), and you'll get a free interop test account.

I’ve been in the telecom business since 1986, and can help you source this plan. Send me a PM with your contact info if you'd be interested in additional info.


dbmaven
There's no shortage
Premium,Mod
join:1999-10-26
Sty in Sky
kudos:2

People looking for ways to save their company money might want to investigate Asterisk and plans like this.

Thanks for posting.



Matt
All noise, no signal.
Premium
join:2003-07-20
Jamestown, NC
kudos:12

reply to RockyBB
So what would you use for local calls? Who is the SIP trunk provided by?



RockyBB
Premium
join:2005-01-31
Steamboat Springs, CO

the SIP long distance service would augment (not replace) what you already have. you'll still need your PRIs for inbound phone numbers, and (probably) your free local calling area. this service allows you to redirect long distance calls to targeted areas to minimize your overall average spend per month. it's offered by an industry reseller that is targeting large volume enterprise and telemarketer accounts, and (with a slightly different offer) VOIP carriers on a wholesale basis.



MEDIAN2k3
Localhost
Premium
join:2002-12-04
Bronx, NY
kudos:1
Reviews:
·Verizon FiOS

reply to RockyBB
Heh talk about a blast from the past my old job downtown dealt with this exact same platform and business model.

We used different termination carriers for different things, redundancy, and we had a terminating carrier out in CA and at the time (dunno if they still do) we had a lot of CA customers so we saved so much when we turned on that circuit out in cali.
--
Have a look at my life as a cab driver in the bronx! »bronxcabbie.blogspot.com


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