[comp.dcom.telecom] 900 Phone Service

telecom@eecs.nwu.edu (TELECOM Moderator) (03/04/90)

TELECOM Digest     Sat, 3 Mar 90 17:28:00 CST    Special: 900 Phone Service

Today's Topics:                             Moderator: Patrick Townson

    AT&T MultiQuest(tm) Interactive Dial-It(R) 900 Service (Lenny Tropiano)
    For The Rest of Us: Your Very Own 900 Number  (TELECOM Moderator)
----------------------------------------------------------------------

Date: Sat, 3 Mar 90 3:49:37 EST
From: Lenny Tropiano <lenny@icus.icus.com>
Subject: AT&T MultiQuest(tm) Interactive like Dial-It(R) 900 Service (*LONG*)


Here's a some of the information found in a big write-up I received
today from AT&T about their 900 services.  The company I work for
wanted to see about getting one for a pay-for online data service
they're work on.

==============================================================================

AT&T MultiQuest Interactive is a new telecommunications service that
offers a powerful new way to market expertise, knowledge or data
nationwide -- entirely by phone.
	
Preferred method of access for MultiQuest Interactive is AT&T's
ACCUNET(R) T1.5 line.

Unlike other caller-paid services, AT&T MultiQuest Interactive allows
two-way conversations with your customer -- or your automated system.

Some, but not all, conditions of the sponsor:
	
	- MultiQuest Interactive service is NOT listed in the directory
	- MultiQuest Interactive will be offered nationwide
	- All intrastate calls, if not blocked, will be billed and taxed
	  at interstate rates.
	- The minimum services period is 30 days.
	- Sponsors are required to include the cost of the call in their
	  advertising.
	- If the total number of sponsor's busies and ring/no answer 
	  calls exceeds 25% of all calls for 3 consecutive billing periods,
	  AT&T may disconnect/refuse to furnish MultiQuest Interactive to
	  that sponsor
	- Currently there are not advanced enhancement features, therefore,
	  a 900 number can only terminate at one customer premise
	- MultiQuest Interactive will NOT be accessible via AT&T WATS or
	  AT&T MEGACOM(R) Service
	- Time of day discounts will NOT apply.
	- Cancellation charges will apply as specified in the general 
	  regulations of FCC Tariff No. 1
	- There is a 30 day minimum notice of an intent to disconnect the
	  service.  This requirement does not extend to deletion or charge
	  of some channels.

AT&T MultiQuest Interactive is:
	- Inbound (as is 800 service)
	- Interactive (as is a regular phone call)
	- Caller-paid (when used with premium billing)
	- Flat-rated (ie. not distance or time of day sensitive)

AT&T MultiQuest Interactive uses 900 numbering: 900 NXX-Xxxx, where
each NXX-X represents a specific call price.

AT&T MultiQuest Interactive is designed for high-volume applications,
but not for mass calling.  The service requires one access line for
each call in progress, unlike other 900 services (which allows for the
termination of thousands of simultaneous calls).  The pricing
structure of the service are such that a fairly high call volume is
required for the sponsor to make money -- the point of this service.

AT&T MultiQuest Interactive number can accept calls from the 50 states
only.  Only directly-dialed calls can be accepted: no
operator-handled, calling-card, hotel/motel, collect, coin, etc.
calls are allowed.  Future enhancements will address these
restrictions.

Subscribers to AT&T MultiQuest Interactive will receive, also free of
charge, call data reports.  There are 2 types: the Executive summary,
which shows the number of calls generated from each area code, the
call detail, which gives the date/time/duration of the call, and the
10-digit number of the calling party (from equal access areas).  Both
call attempts and completions will be shown.

PRICING:  

Non-recurring
	- Service Establishment, per arrangement	$1200.00
	- For changing/adding a 900 number 		$ 175.00

Recurring
	- Monthly charge (up to 960 access lines)	$1000.00
	- Monthly charge-each additional 900 number	$ 125.00

Premium Billing
	- 10% billing service charge
	- Transport fees
		$0.30 initial minute or fraction thereof
		$0.25 each additional minute or fraction thereof
	- Refund charges (not associated with AT&T trouble)

	(It must be noted that under premium biling the sponsor becomes
	responsible for the billing service charge, as well as a charge
	for refunds made by the company to callers for non-AT&T caused
	reasons.  Note:  AT&T considers repeat request for refunds from
	the same caller to be toll fraud, and will deal with it accordingly)

	Sponsors who use premium billing have two choices:
	- charge the caller only for the initial minute (flat fee) with
	  the sponsor picking up the additional minute charges (at the
	  basic tariffed rate) OR
	- charge the caller for both the initial and additional minutes,
	  both at a premium

The sponsor agrees to the following in regards to advertisement:

	- the price the caller will incur on a per minute basis
	- the time frame the offering is in effect
	- statement regarding the type of service with the caller will
	  interact (eg. computer, voice messaging service, live attendant)
	- whether the sponsor uses an electronic scrambling system
	- each time the number to call is displayed the prices will
	  displayed for the same duration as the number to call
	- in TV and Radio advertising, a voice-over message MUST announce
	  the price and advise callers under the age of 18 to check
	  for parental consent
	- geographic parameters must be noted

==============================================================================

PREMIUM BILLING ** NXX-X matrix:

The available AT&T MultiQuest Interactive NXX-X's, along with the
price that the CALLER will pay, are as follows:

Initial		Additional
Minute		Minute		NXX-X
---------------------------------------------------------------------------
 0.00		 0.00		344-0	
 0.50		 0.00		370-0, 773-0, 786-0
 0.75		 0.00		370-1, 773-1, 786-1
 0.95		 0.00		786-2
 1.00		 0.00		773-2
 1.25		 0.00		370-3, 773-3, 786-3
 2.00		 0.00		370-4, 773-4, 773-9, 786-4
 2.50		 0.00		420-1, 740-1
 3.00		 0.00		820-2, 860-2
 4.00		 0.00		820-9
 5.00		 0.00		420-4, 740-4
10.00		 0.00		420-8
25.00		 0.00		820-4
50.00		 0.00		820-5, 860-5

 0.50		 0.50		420-2, 740-2, 786-6
 0.75		 0.50		370-5, 370-8, 773-5, 786-5
 0.75		 0.75		420-5, 740-5, 786-8, 820-1
 1.00		 0.50		370-6, 420-6, 740-6, 773-6, 820-6, 860-6
 1.00		 1.00		370-2
 1.25		 0.75		370-7, 420-7, 740-7, 773-7, 860-7
 1.50		 0.75		773-8, 820-7, 820-8, 860-8
 2.00		 1.00		370-9, 420-9, 860-0, 860-1, 860-4, 860-9
 2.00		 2.00		420-3, 740-3, 786-7
 2.50		 2.50		420-0, 740-0, 820-0
 3.00		 3.00		820-3, 860-3
 4.00		 4.00		740-9
 5.00		 5.00		786-9
10.00		10.00		740-8

==============================================================================

Pricing Examples (3% Federal and other taxes not shown)

	(Both examples are using a 3 minute call length)

	Example 1 - NXX-X: 740-7 (eg. 900-740-7111)
		Cost: $1.25 initial minute
			.75 additional minutes

		Cost to caller: $1.25 for 1st minute
				$1.50 for 2 additional minutes
				-----
			Total:	$2.75

		Sponsor pays:	$0.30 for 1st minute
				$0.50 for 2 additional minutes
				-----
			Total:	$0.80

			Plus:	10% of $2.75 for billing/uncollectibles = $0.28

		Total revenue to AT&T: 		$1.08 ($0.80 + 0.28)
		Total revenue to Sponsor:	$1.67 ($2.75 - 1.08)

	Example 2 - NXX-X: 786-3 (eg. 900-786-3111)
		Cost: $1.25 initial minute
			.00 additional minutes

		Cost to caller: $1.25 for 1st minute
				$0.00 for 2 additional minutes
				-----
			Total:	$1.25

		Sponsor pays:	$0.30 for 1st minute
				$0.50 for 2 additional minutes
				-----
			Total:	$0.80

			Plus:	10% of $1.25 for billing/uncollectibles = $0.13

		Total revenue to AT&T: 		$0.93 ($0.80 + 0.13)
		Total revenue to Sponsor:	$0.32 ($1.25 - 0.93)

	
==============================================================================

MultiQuest Call Counter (Other services)

Briefly two of these Multiquest Services are:

	Call Count Arrangement allows a sponsor an opportunity to sample
	public opinion.  Callers register an opinion by dialing a 900 
	telephone number associated with their choice and hear a brief
	recorded message telling them that their voice has been received.

	COSTS:

	Non-Refundable service establishment charge, per arrangement,
	per program day: $25.00
	500 calls per day MINIMUM call requirement.  (Sponsor charged
	$0.25 per call times difference between calls received and 500
	calls)
	Charge to caller: $0.50 per call


	MultiQuest Broadcaster allows callers the opportunity to dial
	simultaneously a 900 telephone number in order to listen to live or
	taped information.  This arrangement is for listening purposes only.
	A caller cannot conduct two-way conversation or interactive with what
	is going on.    The sponsor is responsible for providing AT&T with
	the prerecorded message.

	COSTS:

	Non-Refundable service establishment charge, per arrangement,
	$250.00
	2000 calls/call minutes per day averaged on a weekly basis (Sunday
	through Saturday).  The sponsor is charged $0.25 for each call/call
	minute under the minimum.
	Available options to charge for the first minute and additional minutes
	are the same as the Interactive MultiQuest (see chart above)


==============================================================================

CALL COUNTER AND BROADCASTER ** NXX matrix:

900 NXX		USE		BILL PHRASE
---------------------------------------------------------------------------
 200		IA/CC		900 Service
 210		CC		900 Service
 220		CC		900 Service
 250		IA		Adult Message
 260		IA/CC		Premium
 300		IA/CC		Premium
 350		IA		Adult Message
 400		IA		Premium
 407		IA		900 Service
 410		IA		Premium
 480		IA/CC		Premium
 490		IA/CC		Premium
 500		IA/CC		Premium
 520		IA/CC		Premium
 555		Dir Assist	900 Service
 590		IA		900 Service
 600		CC		Premium
 650		IA		Premium
 660		IA		Premium
 680		IA/CC		900 Service
 720		CC		900 Service
 730		IA/CC		900 Service
 850		IA		Premium
 903		IA		Premium
 909		IA		Premium
 976		IA		Premium

 IA = Information Arrangement
 CC = Call Count

-- 
| Lenny Tropiano           ICUS Software Systems        lenny@icus.ICUS.COM |
| {ames,pacbell,decuac,sbcs,hombre,rayssd}!icus!lenny   attmail!icus!lenny  |
+------ ICUS Software Systems --  PO Box 1;  Islip Terrace, NY  11752 ------+

------------------------------

Date: Sat, 3 Mar 90 17:03:41 CST
From: TELECOM Moderator <telecom@eecs.nwu.edu>
Subject: For The Rest of Us: Your Very Own 900 Number 


If anyone is interested in obtaining a 900 number, for whatever
purpose, here is the way it was explained to me by International
Telesphere, a company in Oak Brook, IL which specializes in various
long-distance services and 900 type programs:

There is a one time only charge, payable to International Telesphere
of $1000. This is payable by certified check or money order. This is
money paid up-front, before further conversations or activities take
place.

You will then allow about six weeks for the wiring to be done. A wire
pair (or more, if you order more than one 900 number), is brought to
your premises from the nearest central office of International
Telesphere.  Here in the Chicago area, that would be from 233 Wacker
Drive to wherever you are located. There is a one time set up charge,
plus a monthly charge to the local telco for providing this wire. In
the Chicago area, what is termed a VM (voice metered) line would run
between $15-25, depending on distance. The one time wiring charge
would be about $125 here.

International Telesphere pays the installation cost of the wire and
the first month's rental from the advancement you gave them. When the
wire has been brought to your premises, you attach some instrument of
choice (or answering machine, whatever) to the line. The line is good
for incoming calls only, of course.

You tell International Telesphere what you want to charge for incoming
calls. You can charge by the minute, with a higher rate for the first
minute, or you can charge a flat rate for the entire call. You can
tell them if the call is to be cut off after a certain period of time
such as a minute or two, or if it is to be allowed to continue until
the caller disconnects. The sales rep there told me typically people
charge $1.95 for the first minute and $1 per minute thereafter; but
really, its whatever you think people will pay. They relay this
information to the local telco, which does the billing and collecting,
and the number assigned to the phone usually has a direct relationship
to the rate being charged, as in the examples given by AT&T in the
earlier message this date.

International Telesphere then charges you as follows:

30 cents per call, and 13 cents per minute, meaning at least 43 cents
per call. Anything over that (whatever you are charging) is your
profit.  They also charge for the monthly wire rental from the local
telco.

Commissions are paid by International Telesphere once a month. From
the gross collections from the telco, they charge you the 30 + 13
cents (or more, depending) per call, and the monthly wire rental.
There is no other charge. Your first check, which will arrive about 75
days after the line is turned on, will have deductions for the cost of
the wire installation and a month or two of rent, depending on the
billing cycle, etc.

From that point on, checks will arrive every thirty days, always less
the 43 or more cents per call passed and the monthly wire charge. If
you can charge $2-3 per caller and keep the line loaded, that is, bare
minimum of a couple hundred calls per day or so, then you have a nice
tidy little profit for yourself.  Obviously, you have to pay for the
advertising of the line.

As one witty person with 900 experience recently told me, "Sex
messages or religion will generally bring the best results. A program
either of religious meditations or 'hot adult conversation' will
usually bring nice profits... "

If you order two or more 900 lines, International Telesphere can fix
it so the calls to a busy line hunt to the second or third line. What
you do with the lines on your end regards termination equipment is
your business.

The company also offers far more elaborate 900 service at a higher
cost.  For example, you can buy lines and terminate them in very
elaborate equipment provided by independent vendors: such things as
common/conference 'talk lines'; you can terminate in mass-calling
announcement service type machines; and various other things. If you
choose to do something like this, you change the outgoing message from
your own phone using a special code number provided. With something
like this, the stakes are higher to begin with, but the profit margin
is huge, if you are successful.  But for a beginner, or novice, with
just a small amount of money to invest, the single or two-line 900
number, brought to your home or office can be a profitable 'turn-key'
operation if properly advertised and maintained.

I'm not posting this message to promote International Telesphere as
such, and in fact, I think their long-distance 'alternate operator
service' is a bit sleazy... So you can look them up in the northwest
suburban Chicago phone (708) directory if you want to call them. But
since so many people are getting rich from telecommunications these
days, why shouldn't you?


Patrick Townson
 
------------------------------

End of TELECOM Digest Special: 900 Phone Service
******************************