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Common Cost Separation for Each Service in Mobile Telecommunication Network

In mobile telecommunication market, the demand for non-voice services including wireless data service and short message service is constantly increasing especially in Korea. Keeping up with the demand, many carriers extend their network facilities to accommodate those kinds of traffic. And more portions of the facilities, which were used for voice service only in the past, are now being used commonly for various services at the same time. The issue on the situation is how to separate the common cost to each service because the evaluation of separation ratio has a significant impact on the inter-carrier compensation such as interconnection price. In this paper, a separation methodology based on the resource usage of each service is proposed. In detail, three kinds of service were considered including voice, data, and short message service. After examining the current regulation of Korea for common cost separation, this paper looks over the accrual of common cost on CDMA2000-1x mobile network. After that, the unit unification is done for the basis of the separation to the three services, which are measured by different units: seconds for voice, packet or bytes for wireless data transfer, and frequency for short message service