| Pendulum Swings Back To Ma Bell |
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| Written by Lon Lazar | ||||
| Monday, 03 July 2006 | ||||
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Once feeling like children at recess, VoIP telephone service providers are somewhat chastened after this week's unanimous Federal Communications Commission vote requiring voice over Internet protocol services that connect to the public-switched telephone network to subsidize the network they compete with directly. While it might be tempting to symapathize with the plight of a fledgling industry, it was not long ago when VoIP providers had high-ranking policy makers firmly on their side. But they failed to take advantage of their influence to chart a more friendly regulatory course for themselves. Wednesday's ruling is the second significant blow in a little over a year to the "no regulation" status of Internet commerce, since the FCC voted last May to require Internet telephone companies to provide emergency 911 service to their customers. ![]() FCC Chair Kevin Martin The new order also requires wireless telephone service providers to increase contributions to the 70 year-old fund created to subsidize the wired telephone network in rural and low-income areas nationwide by contributing to a Universal Service Fund from new fees imposed on VoIP customers.
Many wireless and VoIP industry representatives decried the move, citing its backward-looking focus on a service waning in usage and demand.
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