There are a lot of low cost or free conference calling providers on the internet these days, with conferencing services being offered by high quality conference providers for as low as 2.5 cents per minute. There are also companies giving away free conference calling , but the only way they can do that is by cheating the phone carriers who are supplying the service. The cheating is done by sending the calls through a local telephone provider , called an incumbent local exchange carrier , that charges the long distance provider an unfair price per minute to connect the call.
The reason that charging long distance carriers a high rate for connecting the call is unethical , is because, in most situations, the phone call is then routed back to a company that doesn’t even operate in that ILEC’s area. In most instances, the free conference calling companies are in Los Angeles . The incumbent local exchange carrier then splits the profits from overcharging for the phone connection with the conference calling company that routed the calls through their business .
What’s sad , is that this is legal and that the FCC has shut down lawsuits by Ameritech , Qwest and other long distance phone companies who have tried to fight this in the courts . Most of the time, the costs aren’t taken care of by the person who made the call , but by the long distance company instead. So, while you are making your FREE conference call, your phone carrier is getting charged ten to twenty cents a minute for the call. This is especially hurtful to companies that offer flat cost long distance telephone service, as the user might run up hundreds of dollars worth of charges, while only paying the phone carrier $ 25.00 or less a month.
