Before we answer the question at hand, let’s cover what NPA-NXX means.
Breaking down NPA-NXX
When looking at a telephone number from the USA, you will have 10 digits listed as so NPA-NXX-XXXX.
NPA identifies the first 3 digits as the Numbering Plan Area (area code).
NXX identifies the next 3 digits in a phone number known as the Exchange.
XXXX identifies the last 4 digits in a phone number.
There are over 180,000 combinations of NPA-NXX within the USA and Canada. When looking at an NPA-NXX rate deck, there is usually a column with the header NPA-NXX. This column shows each combination of NPA-NXX. Here’s an example: 201-200the NPA would be 201 (New Jersey) and the NXX would be 200. Each combination of NPA-NXX has a different per minute rate to terminate calls. Back to our 201-200 example, if you look at the column next to the NPA-NXX, the per minute rate is mentioned. The per minute rate for each NPA-NXX combination mostly depends on your vendor, your traffic type, and your volume.
How NPA-NXX billing saves money
NPA-NXX billing saves you money on VoIP termination in many ways. When looking at an NPA-NXX rate deck, sort the pricing column from smallest to largest. Many of the rates for NPA-NXX combinations start at $0.0005/minute. Scrolling down and looking at the rate column, you will see the minute rate increase. A rule of thumb is that the cheaper rates are going to be your most populated areas and your most expensive rates are you rural areas that are not as populated. With most calls directed to higher populated areas, competition is fierce. That drives the per minute rate down to fractions of a penny per minute.
Some VoIP Termination providers will offer a flat per minute rate that covers all or limited codes. For example, a flat $.0073/minute rate could cover all codes in the USA and Canada. But if you go back to the NPA-NXX rates, 50% or more of the NPA-NXX combinations are less expensive than $.0073/min. Most companies who use NPA-NXX are going to average much less than $.0073/minute and it’s easy to see why.
How Star Communication can help your company
Star Communications offers USA and Canada SIP termination that is reliable and built for the highest call quality. Typically we are able to negotiate better rates and offer additional services that assist our partners in choosing the right solution. Starcom most times is able to offer more competitive wholesale VoIP rates than going directly to Tier 1 providers. We have helped Large Call Centers, VoIP carriers, CLECs and we look forward to assisting you! Our Free test account allows you to gauge the call quality and find an average rate per minute.
Our NPA-NXX rate deck is listed on our website here. If you’d like to speak to one of our representatives about your wholesale needs and expectations, shoot us an email at email@example.com or call 1-877-519-8464