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Intercarrier compensation

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Definition Edit

Intercarrier compensation refers to

the charges that one carrier pays to another carrier to originate, transport, and/or terminate telecommunications traffic.[1]

Overview Edit

Although the same or similar facilities are used to originate, terminate and transport all types of traffic, the rates for intercarrier compensation vary based on several factors:

Intercarrier compensation payments are governed by a complex system of federal and state rules. There are two major forms of intercarrier compensation — access charges and reciprocal compensation.

References Edit

  1. Federal Communications Commission, Intercarrier Compensation (full-text).

Source Edit

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