Circuit switched data is a data communication method that maintains a dedicated communications path between two communication devices regardless of the amount of data that is sent between the devices. This gives to communications equipment the exclusive use of the circuit that connects them, even when the circuit is momentarily idle.
Circuit switched data can be in the form of permanent virtual circuits (PVCs) or switched virtual circuits (SVCs). A PVC is a virtual circuit is manually created for a continuous communication connection. The path for the customer is setup one time by programming routers or switches in the communications network with the connection addresses for the PVC. A SVC is a circuit that is automatically and temporarily created when the virtual connection is requested.
To establish a circuit switched data connection, the address is sent first and a connection (may be a virtual connection) path is established. After this path is setup, data is continually transferred using this path until the path is disconnected by request from the sender or receiver of data. An example of circuit switched data service is integrated services digital network (ISDN).
Teleservices
Teleservices are information services that process or store user data as it is transported through a communications network. An example of a teleservice is a fax forward and storage service. Because IXC competitors all can provide similar services (e.g., more minutes of voice for less money), IXCs may differentiate themselves by providing value added teleservices. IXC teleservices include prepaid services, information access management, and international call back service.
Pre-paid calling cards provide method of payment for telephone calls that negate the need for cash or credit card. Such cards come in preset increments usually beginning at $10 and can be purchased in many convenience stores, drug stores, and discount department stores. Issued by telecommunications service providers, these cards contain coded identification information that permits the cardholder to initiate a call or request information service. Calling cards contain a number or code on a magnetic stripe that uniquely identify the card and authorized services to the system. When the pre-paid amount is spent the card is no longer usable.
Figure 1 lists the typical cost structure of pre-paid calling card services. This table shows that prepaid calling card services offer higher average revenue through cost-added services. This table shows that a low cost prepaid service can achieve higher than average revenue per minute by adding pay telephone and toll free/freephone access charges, call setup charges, and minimum usage charges.
International callback is a call processing service that reverses the connection of calls. International callback service is popular in countries that have high tariffs (fees) for outgoing (originating) international calls and have low tariffs for incoming (received) international calls. This process is divided into the call setup (dial-in) and callback stages. The international caller dials a number that provides access to the international callback service. This number may be local in the visited country or be an international number. The international callback gateway receives the call and prompts the caller to say or enter (e.g., by touch tone) the international number they desire to be connected to and the number they want the callback service to connect to. The international callback center then originate calls to both numbers and connects the two individuals to each other.
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