Cloud-based virtual tandem

A method of generating a call detail record for a terminating carrier, wherein the terminating carrier terminates call traffic received from a peering grid, the method comprising:

• determining a market value of call traffic to a terminating carrier over a predetermined time period, wherein the market value is based on revenue for terminations of the call traffic from a peering gird to the terminating carrier,
• determining a variable cost of the call traffic, wherein the variable cost is a function of sharing the market value between the peering grid and the terminating carrier;
• determining a compensation amount due to the terminating carrier as a function of the variable cost;
• and
• creating a report comprising one or more of the determined market value, the determined variable cost, or the determined compensation amount;
• wherein each of the determining operations and the creating operation are performed by a processing element capable of communicating with the peering grid.