Introduction to Interconnection

Scope

This part presents the first lesson of this chapter concerning interconnection in the training programme in ICT markets and industry. It provides the basics that give a clear and concise introduction to a student on interconnection and its importance in the telecommunication industry. The aim of this part is to provide a theoretical grounding of the interconnection procedures to a student. This material presented here forms a foundation which will enable a student tackle and analyze the complex issues that will follow in other lessons on network interconnection.

Review Questions

1. Discuss some of the reasons that make interconnection important
   
2. What is the relationship between competition and interconnection?
   
3. Discuss what bearing the recent increase in digital subscriber lineshas to interconnection

Definitions

In the telecommunications industry, "interconnection" refers to the establishment of electronic linkages between service providers so that they can conduct business transactions electronically. In short, interconnection is e-commerce or business-to-business trading between and among carriers.

Consider these other definitions of interconnection:

This section applies to linking with suppliers providing public telecommunications transport networks or services in order to allow the users of one supplier to communicate with users of another supplier and to access services provided by another supplier, where specific commitments are undertaken. (The Reference Paper related to the Basic Telecommunications Agreement of the General Agreement on Trade in Services).

While definitions cannot encompass the complexity of the matter, loosely speaking interconnection comprises the commercial and technical arrangements under which service providers connect their equipment, networks and services to enable customers to have access to the customers, services and networks of other service providers (International Telecommunication Union, The Changing Role of Government in an Era of Telecom Deregulation - Interconnection: Regulatory Issues, Report of the Fourth Regulatory Colloquium held at the ITU Headquarters (1995))

The physical connection of separate telephone networks to allow users of those networks to communicate with each other. Interconnection ensures interoperability of services and increases end users' choice of network operators and service providers. (International Telecommunication Union, Trends in Telecommunication Reform 2000-2001 - Interconnection Regulation (2001))