Table of Contents:

Definition and Overview

1. Interconnection in the United States: A Brief History

2. The Global Drivers of Interconnection

3. The Emergence of a Workable Approach to Interconnection

4. Interconnection Is about Real People, Real Companies

5. Global Vision for Interconnection

Self-Test

Glossary

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Just as they have in the United States, interconnection ASPs can deliver the same benefits of simplicity, standardization, scalability, and efficiency on a global scale. ASPs can level the playing field for service providers the world over by doing the following:

• Providing "one way in, many ways out"—the ability to connect with infinite partners and send orders to multiple locations via one connection
• Handling and maintaining all translations, rules, protocols, and interfaces—insulating each participating service provider from these costly, time-consuming responsibilities
• Scaling with each participant's business—offering pay-as-you-grow convenience by instantly accommodating a service provider's increase or decrease in business.

The most plausible model for global interconnection is one that involves linking service providers around the world via several, interconnected, regional ASPs.

Figure 3. Interconnection in the Global Marketplace

This vision is workable using currently available technology and expertise. It is also likely to become a reality, given the strong and growing momentum from both carriers and regulators for a global answer to the interconnection challenge. Although we often associate regulators with business restrictions, today's telecom regulators are focused squarely on deregulation—removing barriers to free trade to encourage unfettered competition.

The more telecom markets open up to competition, the more urgent the need for interconnection.

As the International Telecommunication Union (ITU) reminds us, we live "in an age that places increasing importance on 'any-to-any' interconnection, that is, the ability of any network operator to establish connectivity with any other operator." For this reason, says the ITU, "regulators and market players from around the globe consider interconnection regulation to be the single most important issue in the development of a competitive marketplace for telecommunications services."¹

1. Trends in Telecommunication Reform 2000–2001: Interconnection Regulation