VoIP Changeover Brings Need for New Consumer protections

Telephone communications have changed dramatically but the regulatory framework has not kept pace. Long gone are the days of monopoly service provided over circuit-switched copper lines. Today, at least half of U.S. households use wireless or an Internet application such as VoIP (voice over the Internet) or Skype or text messaging to communicate with others.

But despite the changes in technology, many consumer protections - including universal service obligations - apply only to the local phone company's circuit-switched network. It's time to update our regulatory framework for an all IP world.

AT&T has opened this discussion with a petition at the FCC to trial a deregulatory framework.

Speed Matters is eager to join the discussion. We recognize that a multiplicity of tech choices doesn't mean everyone can get a working phone line. For reasons such as geography and income, many people are at risk of being cut off. And it's the position of Speed Matters that we need a regulatory framework that protects consumers and affordable universal service regardless of the technology.

According to a story by Todd Shields in Bloomberg News, AT&T Vice President Jim Cicconi told a group at the Brookings Institution that, "The underlying statutes really aren't designed for the current situation." However, AT&T, Verizon and some others have been pushing - especially at the state level - for the ending of most regulations over VoIP services.

Under the old standards, phone companies must provide "a quick dial tone, a sure connection and resiliency during storms and power outages." But VoIP companies like Comcast and wireless aren't covered by such requirements.

We think that whatever technology is being offered to the public must at least meet these reasonable and necessary minimums.

AT&T Seeks Freedom From Ma Bell's Rules in Internet Era (Dec. 5, 2012)