[asterisk-biz] VoipJet went bye bye?

[Alex Balashov]

On 12/27/2011 11:34 PM, Jake Hansen wrote:

> Does anyone know how they sell US termination for 0.004 in a lot of
> cases? One would presume they are getting it cheaper and making a
> profit on it...

As Jay pointed out, wholesale termination in non-trivial volume is 
cheaper than that to a lot of destinations.

However, the variation is considerable, and I wouldn't necessarily 
assume they're making a profit.  In wholesale, it's common practice to 
reject calls to certain especially high-cost destinations, even if the 
provider claims 100% completion.  In retail, they usually just make a 
bet that most of your calls will be to cheap destinations, and take 
the hit if they're wrong.

In all cases, the goal is to win your traffic, whether you're LCRing 
it or manually evaluating costs.

Personally, I think selling US termination at 0.004 blended, across 
the board is suicide.  There are certain types of destinations (mainly 
RBOC, some wireless) that are highly profitable sold at 0.004, and 
there are also many others that would bleed you dry.  It's possible 
that this type of thinking - predatory pricing - is the key to why 
they went out of business.

-- 
Alex Balashov - Principal
Evariste Systems LLC
260 Peachtree Street NW
Suite 2200
Atlanta, GA 30303
Tel: +1-678-954-0670
Fax: +1-404-961-1892
Web: http://www.evaristesys.com/