FCC To Hold First VoIP Hearings; Rules in 2004

securitas writes "The Federal Communications Commission (FCC) will hold its first hearings on Internet telephony and VoIP regulation on Dec. 1 and plans to regulate VoIP by late 2004. A public comment period will follow the Dec. 1 meeting. Some say that it is overly ambitious to regulate VoIP by 2004, especially since FCC Commissioner Michael Powell does not have a strong reputation for clarifying complex issues - instead he has a reputation for confounding them. More at Internet.com and InternetWeek . FCC press release (PDF1|DOC1) and attached letter (PDF2|DOC2) to VoIP proponent Senator Ron Wyden, who sits on the Commerce, Science and Transportation Committee."

Comments

Why

[Emperor Cezar]

Why is it the FCCs job to regulate a private internet. I can understand open airwaves that everyone controls, but the internet? I pay a private entity to connect to the internet, not the US government.

The reason for the FCC to regulate VoIP is that AT&T and friends have paid off some congressman so they won't lose thier market.

People, please vote Libertarian before we lose all of our freedoms.

Re:Why

[isdnip]

The FCC has no intention, I am quite sure, of regulating private VoIP, or any computer-to-computer applications. They're really, really, not interested in going there. (I do this stuff for a living. I'm not a lawyer, but I do regulatory work, and often write formal Comments on FCC proceedings. So I stay on top of this sort of thing.) Theoretically, they do have a lot of authority that they do not exercise. But for the past 25 years or so, their direction has been to exercise authority to prevent monopolies from impeding progress. The Internet itself only exists, for instance, because the FCC ordered AT&T, in the 1970s, to remove a restriction on "sharing and resale" of leased line circuits.

The FCC is however interested in a number of very sticky questions that relate to VoIP. The telephone network itself is subject to fairly strict regulation, particularly the amount of money that each carrier is allowed to charge the other carriers on a given call. So when somebody in Virginia calls somebody in California over Qwest's network, how much does VZ in VA get from Q, how much does SBC in CA get from Q? Those are covered by detailed tariffs.

A local leg of an interstate call is not treated the same as a local call. The current regulatory system is based on a system of classification, and that system is obsolete. VoIP increases the pressure on it.

VoIP threatens that because it's so easy to sneak around the usual processes. The current FCC not-quite-rule (an April 1999 "Report to Congress", which is an unofficial policy statement) says that "phone to phone" VoIP calls are just plain calls, subject to the same payments as other calls. PC-to-phone calls, however, are undefined. And there are all sorts of variations. The big phone companies know it, and want to use their influence to make things go their own way. Small, rural local phone companies actually have the most to lose, because they get a much bigger share of their revenue from long distance settlements. Rural state regulators and legislators are very protective of these companies.

VoIP regulation should not be allowed

[eyefish]

VoIP is nothing more than an attempt by the Telcos to try to hold on to a market that is naturally sliping out of their hands.

When one thinks about it, regulating VoIP is as stupid as trying to regulate chat programs; both are simply sending packets across and both run on off-the-shelf open-standards hardware and software.

I only wish lawmakers (who are _supposed_ to represent the public) notice this and realize that consumers should not be scammed like this.

Do you really think the FCC will cede power?

[stox]

Personally, I think everyone is mis-reading this. It has nothing to do with the ILEC's and everything to do with the FCC maintaining its power base.

Most of the big players in Telecom have announced intent to carry the majority of their traffic, in the near future, over IP. No way the FCC is going to let the single biggest piece of its influence walk away.