traffic pumping


Also found in: Financial.

traffic pumping

Routing calls from teleconferencing and phone sex providers through rural telephone companies in order to "pump up" traffic and receive extra revenue. As mandated in the Telecommunications Act of 1996, rural local exchange carriers (LECs) are allowed to charge high per-minute access fees to the larger regional and long distance carriers for handling calls. The statute was created to compensate rural carriers for their cost of deployment over vast distances in order to serve a small number of customers. However, this became a loophole for third parties to pass traffic through the networks and receive a share of the access fees.
References in periodicals archive ?
Some local exchange carriers sought to artificially inflate the number of local calls they could connect, thereby increasing both the call volume and the rates that they could charge; this scheme is known as "traffic pumping." (56) Specifically, a local exchange carrier would enter into a relationship with a company that generates a high volume of telephone calls.
Traffic pumping might not be a top-of-mind concern for consumers since they don't eat the costs directly, but there is a trickle-down effect.
It can't be good for the environment either, what with the miles and miles of standstill traffic pumping out CO2.