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New York State Classifies Vonage As Phone Company

Posted by ryuzaki0 on from the voip-yipes dept.

securitas writes "CNet's Evan Hansen reports that on Wednesday, the New York State Public Service Commission 'ruled that Vonage Holdings is a telephone company and thus subject to state regulation.' The decision is seen as a blow against the emerging voice over Internet protocol (VoIP) company and the industry in general."

2 of 328 comments (clear)

  1. Regulation isn't always bad by Anonymous Coward · · Score: -1, Troll

    I'll probably get a zillion responses of disagreement, but I think regulation of utlities in the US can be a very good thing.

    Case in point, I used to work for a water company in Orange County, Ca, and due to government regulation, things like rate hikes were only possible if we could show beyond the shadow of a doubt that they were necessary to provide the same service continously (which was actually pretty good). Salaries were good but not great. They were fair. And we're not talking lobbyist type stuff like with guns and tobacco, they actually are very strict about their rules. The books were audited YEARLY, and no funny business ever took place.

    Yes, this is water, not phones. But many of the same facts apply.

    Propz to GNAA

  2. US is bankrupt and will grab money where can by Anonymous Coward · · Score: -1, Troll

    Vontage is crazy to try and start this kind of company in the United States.

    Never try to start a business in an area where the state government or the federal government uses to grab a portion of their revenue from. It is like trying to start a TV station in Britian!

    They should move all their assets and operations to another country more friendly to innovation and I bet they will focus outside the US in the future.

    The US is doing it's best to turn it's self into a third world nation.