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Originally Posted by RawAlex
Perhaps you would like to enlighten us with the typical pricing model for india or china?
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Hi RawAlex, sure
Since both India and China do not (yet) have domestic premium rate numbers, the surfer needs to make a regular IDD (International Direct Dial) call to get his password.
These usually terminate in Liechtenstein, with whom we have a revenue-share agreement in place. They pay us a proportion of the settlement rate, which they recieve from telcos around the world for "terminating" the call.
There are more than 14,000 different phone companies on this planet, every company has different long distance rates, so we can not tell exactly what the call is getting charged per minute.
In general, the per minute call to our main European termination is about US$0.25 to $0.70 per minute. With some VoiP services or prepaid cards sometimes lower than 10 cents.
If you pay $ 0.70 per minute to call our European Termination, YOUR local carrier keeps about 40 cent, pays about 3 ? 5 cents to a long distance carrier like ATT to transport the call. Then about 25 cents gets to the European Phone Company where the call ends (Terminating Telco). Of this, about 25 cents the European Phone Company pays us a share of about 11 cents of which we pay you 8,3 cents.
In countries like UK and Germany that support local premium billing, the payouts and share are higher since there is only one telco invloved, not two.