South Africa’s Telkom files injunction to bar least-cost routing

14 Mar 2003

South African incumbent Telkom SA has filed a legal case against around 90% of the country’s largest companies to try to outlaw the practice of them bypassing its lines to cut call fees (a practice known as least-cost routing). Thousands of companies have discovered the cost savings attached to adapting their switchboards to route calls onto cellular networks to avoid using Telkom’s lines. However, Telkom claims the practice is costing it millions in lost revenues, and whilst no one has been willing to own up to doing it, many may now be required to join a test case to prove whether the service is legal.