Situation: A small traditional LEC (local exchange carrier), as a result of deregulation was paying so much for interoperability that it was impacting their bottom line.

Plan of Action: Determine if the open market would support a reduction in wholesale rates allowing greater connectivity and a better rate structure:

  • Analyze current level of activity including:
    • Call termination patterns
    • Availability of connectivity
    • Financial impact of change
  • Negotiation of access
  • Negotiation of rates
  • Supervise installation and project completion

Results: Within two months, the following was accomplished:

  • A rate analysis was completed
  • A use pattern was determined and plotted over time
  • A review of each potential line of connectivity
  • All competing LECs and other ILECs were contacted
  • A survey of connectivity points was produced
  • A contract was negotiated with two competing carriers
  • A final contract was completed
  • The installation of new equipment was supervised
  • A savings in excess of $50,000.00 per month was realized

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