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Friday, November 26, 2004

VoIP compensation debate continues to heat up
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As most policymakers digest Thanksgiving turkey, the debate heated up further regarding how telephone companies will be compensated for use of their traditional networks when they are used to connect "voice over IP" (VoIP) calls. FCC Chairman Powell issued a carefully worded statement regarding a recent filing by one major telephone company about a new service option by which Internet voice providers can connect to the telephone company's network. Critics have assailed the plan as an attempt to perform an "end run" around ongoing compensation proceedings, while the company underscores that it will comply with any forthcoming FCC rulings and that the new service is optional (TRDaily, Nov. 24, 2004 - subscription required). Powell's statement does not clarify whether the FCC has permanently rebuffed a call to suspend and investigate the new service. But it does make clear that pressure to resolve these network compensation issues will continue to mount as use of Internet voice services grows.

posted by Kyle Dixon @ 1:15 PM | VoIP

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