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  KPN started providing this service for all Telcos in the second quarter of 2001 (the service is sometimes referred to as the "FRIACO" service). The KPN Telecom PSTN 06760 Internet Connect Flat Rate Service is an originating service. Its main feature is that Telco pays KPN a flat rate each month for each 2 Mbit/s of capacity instead of a charge per minute. The main benefit for Telcos and ISPs is that they can offer special price structures and, in this specific case, a flat rate charge to KPN end users. Telco or ISP is responsible for billing the (KPN) end user.

An end-user service based on KPN Telecom PSTN 06760 Internet Connect Flat Rate Service can only be provided to end users with an ISDN connection who use the 64 kb/s unrestricted bearer service. Since 1st July 2001, Telcos have also been able to offer a retail service based on the KPN Telecom PSTN 06760 Internet Connect Flat Rate Service to a limited number of endusers with an analogue PSTN connection. They can offer the retail service to a small number of analogue subscribers, based on a maximum analogue subscriber penetration in each Access Area.

A KPN end user sets up an Internet connection to an Internet Provider who has a dedicated 06760 number. The Internet Provider is connected to Telco's network. KPN is responsible for handling the Call from the end user to the Call handover at the Regional Access Points (RAPs). The nearby handover routing method is used to route the traffic to the RAPs. If KPN routes a Call to a RAP in a Regional Access Area where Telco has a Subscriber Connection but not a Point of Presence, Telco may take the KPN Telecom PSTN Inter-Region Connect Service in addition to the KPN Telecom PSTN 06760 Internet Connect Flat Rate charge. Traffic of the KPN Telecom PSTN 06760 Internet Connect Flat Rate Service is handled over a separate FRIACO trunk. There is no overflow possibility to or from the FRIACO trunk.

The KPN PSTN is based on shared infrastructure. The network was designed for telephony whereby calling patterns exhibit short call holding times. Internet traffic exhibits a different traffic profile with significantly longer call holding times. End-user services based on the KPN Telecom PSTN 06760 Internet Connect Flat Rate Service are expected to encourage even longer call holding times and also stimulate overall demand significantly. Consequently, KPN expects this type of traffic to place a heavy load on the KPN PSTN, and in a way for which the network was not originally designed. To preserve KPN network integrity, Telco must adhere to a predefined minimum call success rate for this service.

KPN is responsible for the quality of service. A Telco can contact the KPN Telecom Wholesale Service Desk if faults occur. Telco is responsible for the quality of service delivered to the (KPN) end user.

Telco is responsible for forecasting this service. An overall maximum number of 2048 kbit/s Network Interconnections will be allocated to the KPN Telecom PSTN 06760 Internet Connect Flat Rate Service for each Access Area. The total of all 2048 kbit/s Network Interconnections provided to all Telcos in a particular Access Area will not exceed this maximum. The available FRIACO 2 Mbit/s capacity per Access Area will be distributed using the distribution rules described in the Reference Offer.