To date, the termination of voice traffic is one of the most profitable businesses, requiring minimal time and relatively little initial capital. The first thing you need for a successful start is how to properly understand the functioning principle of the GSM termination market.
Terminators are those who own VoIP GSM gateways. With the help of this equipment, it becomes possible to terminate calls, that is, to convert the received VoIP signal to GSM format and pay for the international call at the local tariff. Terminator earns on the difference between the cost of international and local calls. How does it work?
Let's say a person wants to call from country A to country B. He dials a number and the signal passes through the GSM antenna of the operator in his country. The operator charges $1 per minute (for example) and converts the signal into VoIP. Then he looks for a transit company that would agree to provide traffic to country B for 50 cents. The operator has 50 cents from 1 dollar, paid by the subscriber.
A transit operator, in turn, conducts traffic further, turning to the next company. It gets 30 cents a minute, and then it has two ways. It can send traffic to a local cellular operator in country B for 20 cents, that is, earn only 10 cents. Either it can turn to a terminator that terminates the call at the local rate for as little as 10 cents. Then the transit company will earn 2 times more. As a result, the local operator gets nothing, and the subscriber in country B successfully receives an international call.
So, the terminator is the one who owns the GSM gateway. The one who sends traffic to the terminator is called the originator. The latter earn providing voice traffic from one country to another, with the terminator being the most important link in the business chain. Therefore, good routs (routes that terminators provide for terminating calls) are in high demand in the market.