117 lines
6.6 KiB
Plaintext
117 lines
6.6 KiB
Plaintext
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< The United Phreaker's Incorporated Proudly Presents >
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< Secret Phone Bypassing Stirs Row >
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< Is Underground Long Distance Network That Saves Millions `Illegal' >
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< By: Tomcat >
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< An Upi Production 1990 >
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<><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><><>
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Reprinted In File Form On March 27, 1990
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Orignally Publised In Popular Electronics Electronics Hobbyists Handbook 1990
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===============================================================================
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Secret Phone Bypassing Stirs Row
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By: Mike Urlocker
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THE FINANCIAL POST
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An underground telecommunications network used by businesses to divert
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millions of dollars from Canadian telephone companies is flourishing,
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industry experts say.
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And apart from cutting their rates to compete, there is little the
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telephone companies can do to control it. (HAHA to Bell!! -Tomcat).
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"The telephone companies are scared to death," says Frank Koelsch,
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senior vice-president of Transition Group Inc., a Toronto-based market
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research firm. "There's lots of people doing it. It runs the gamut from
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small business to large corporations."
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Companies using the system, known as "Canada-Canada Bypass," use
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private lines and switches to route their domestic long-distance traffic
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through the U.S., where rates are lower.
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For example, a Vancouver-based company with operations in Windsor,
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Ont., could bypass the Canadian long-distance network by routing its traffic
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over private lines from Vancouver to a switch in Seattle, Wash. From
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there, the traffi is picked up by a U.S. long-distance carrier and piped
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across to Detroit. A third hop routes the calls back across the border
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to Windsor.
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Monopoly Carrier
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Similiar methods are used to route overseas calls through the U.S.,
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bypassing Teleglobe Canada Inc., the monopoly overseas carrier.
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People familiar with the technique say a corperate telecommunications
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manager could rig such a system so it is invisible both to employees
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and the telephone companies. With U.S. long-distance rates about half
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what Canadian companies charge, substantial savings are reaped.
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The practice violates agreements between U.S. telephone companies and
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Telecom Canada, the association of nine regional monopoly telephone com-
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panies, as well as policy of the Canadian Radio-television & Telecommun-
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ications Commision. Companies that bypass risk having their phones
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disconnected.
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Nobody knows how extensive bypassing is. But Koelsch estimates 20% of
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the $12-billion-a-year Canadian long distance business is threatened.
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Telecom Canada and rival CNCP Telecommunications say bypass is im-
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possible to monitor but downplay the damage.
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"It's probably getting worse," says Frank Degenstein, former president
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of Telecom Canada. "[But] it's not that economical for companies to do
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it."
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The telephone companies say bypass is illegal but others disagree.
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Koelsch and George Harvey, president of CNCP, say that while bypass breaks
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the phone companies' agreements, it is not against the law. Further,
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Koelsch argues that attempts to stop bypass could be challenged as a non-
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tariff barrier under the Canada-U.S. free trade agreement.
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"They have perpetuated the myth that it's impossible and illegal,"
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said Koelsch, who recommends bypass to reduce domestic long-distance
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bills.
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Alliance Disagrees
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The Canadian Business & Telecommunications Alliance, which represents
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300 major telecommunication users, disagrees with Koelsch's analysis,
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saying the practice is illegal.
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To bypass the Canadian network, a Canadian company must lease private
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lines to the border. As a result, at least peripherally, a Canadian
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supplier is involved.
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Telephone companies, CNCP and a half-dozen resellers, small firms that
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lease bulk private lines from the carriers and resell them at a discount,
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offer lines to the U.S. That is permitted as long as the traffic is not
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rerouted back across the border into Canada.
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CNCP's Harvey says he "absolutely guarantees" CNCP does not let its
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lines be used for bypass. But, he adds, once lines are in the hands of
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resellers, "we have no way of checking."
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In a recent submission to the CRTC calling for increased regulation of
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resellers, British Columbia Telephone Co. said two Canadian resellers
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were bypassing the Canadian network. The firms were not named.
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Resellers, which deny the charge, usually sign agreements with their
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suppliers not to bypass the Canadian network.
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You may distrubute this file freely but may not change any part of this file in
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whole or part without the written or verbal concent of the author.
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===============================================================================
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Call These Great Upi Boards!
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===============================================================================
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Node Number Board Name Sysop Baud
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===============================================================================
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Hq 416-Upi-Home The Northern Phreaker's Alliance The Lost Avenger 24
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1 416-Upi-Nde1 The Shining Realm FrosT BitE 24
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2 515-Upi-Nde2 Paranor Demon Asmodeus 24
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3 305-Upi-Nde3 Ferrari Mr. Ferrari 38.4
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4 416-Upi-Nde4 Time Zone Destoryer 38.4
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5 716-Upi-Nde5 The Knight's Society Jeff Knight 24
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6 408-Upi-Nde6 The Unholy Temple Black Death 24
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7 031-Upi-Nde7 Rebel Box (Netherlands) Mr.Miracle 24
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8 213-Upi-Nde8 The Drop Site N Sult 24
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===============================================================================
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04-27-90/010 Copywrite 1990 By The Lost Avenger-All Rights Reserved
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Downloaded From P-80 International Information Systems 304-744-2253 12yrs+
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