FCC Rules States Can't Regulate VoIP

NardofDoom writes "Ars Technica is reporting that the FCC has 'placed a regulatory shield around VoIP,' declaring it immune to state regulation, even if calls terminate on publicly switched networks (POTS). A previous ruling declared that Internet-Internet calls (i.e. Skype) can't be regulated, but the ruling opens the door for Verizon, AT&T and other local carriers to offer VoIP to customers without paying state taxes. One step closer to free phone calls, or one step closer to state regulation or taxation of IP networks?"

Comments

Direct From The Source!

[1_interest_1]

FCC News Release (PDF, 110K)

Michael Powell's Statements (PDF, 75.6K)

my experience

[theMerovingian]

One step closer to free phone calls, or one step closer to state regulation or taxation of IP networks?

All I know is that I used to pay $65 a month for SBC service with unlimited long distance, caller ID, and voicemail. After I switched to Vonage (same deal for $24.99/mo), SBC started calling me three times a day to get me to switch back for $24.99.

I won't switch back, even though VoIP is a little annoying (doesn't work when the power is out, have to occasionally restart the cable modem, etc). Thank goodness that a cheaper alternative came along to break the back of the local phone monopoly.