sharmila79 wrote:
In Country Y, this connection fee, which is charged on a per minute basis, is stipulated by the regulator and thus, is same for every telecom operator.
The above sentence states that irrespective of whether it is incoming or outgoing, the connection fee is same for every telecom operator. Given a condition like this, how is it going to yield them more money on outgoing calls? Am I missing something?
Hi Sharmila,
Refer to the first sentence: "When a subscriber of one telecom operator calls another subscriber of different telecom operator, the destination telecom company (of the receiving subscriber) charges a small connection fee to the originating telecom operator".
It means that connection fee is revenue for a telecom operator receiving the call and cost for a telecom operator originating the call.
Does it address your doubt?
Thanks,
Chiranjeev
