least cost routing (LCR)

Least Cost Routing (LCR) is a value-added service in the Tk sector that is directly related to the liberalization of telecommunications services. Least Cost Routing offers the operator the possibility to switch the cheapest connection over communication networks of different operators.

Least Cost Routing is calculated for each individual connection and switched accordingly. The LCR reflects the different tariffs of the individual telecommunications providers: the time of day, the distance and the transmission capacity.

An LCR system must therefore have up-to-date price information from which to select the most cost-effective connection. Such a system is based on a database that constantly has the current price information and derives its connection optimization from it.