VoIP Service Providers Regulation Explained and Discussed

Regulating VoIP service providers was initially a hands-off issue to the US Federal Communications Commission. Even so, VoIP was wrought with concerns when users found out that they couldn?t place emergency calls from their VoIP phones. Since then, the FCC has done what other people call a ?regulatory creep? or a gradual regulation on VoIP.

Why not just regulate VoIP?
Some say that limiting VoIP to a specific classification limits its innovation potential and discourages the entry of start-ups and new VoIP service providers in the market. This means less VoIP accessibility to Americans. It also implies Internet regulation, something that brings with it a complete new host of consequences.

Nevertheless, some are for the regulation of VoIP to ensure the right of customers to essential phoning services. If the FCC has jurisdiction over VoIP, then it also has the right to require VoIP providers to contribute to particular telephone service or broadband funds for the disabled and for rural and low income regions. These funds are taken from a specific percentage of a telecom carrier?s income and are passed on to telecom subscribers (it is possible to check your phone bill). Even so, one question to this is, should the FCC gain automatic jurisdiction over VoIP just because it supports a lofty goal?

Naturally, these concerns are just the tip of the iceberg. There are a lot of interlinking concerns that should be examined when it comes to the full regulation of VoIP.
Summary of regulations on VoIP (as of November 2010, Telecom Law Monitor)

The root of VoIP regulation
One of the main queries that the FCC has yet to take a stand on is, do VoIP service providers provide a telecommunications service or do they provide information service? Under the Telecommunications Act of 1996, if VoIP is defined as an information service (Title One), then it?s regulated only to a certain extent in accordance to the FCC?s ancillary jurisdiction. However, if it is defined underneath Title Two from the Act, then it must be totally regulated just like other telecom carriers. Some are in the opinion that ?if it acts like a phone and functions like a telephone, then it?s a phone?. Some, however, feel that this immaterial. The question for them is, should the FCC even be authorized to regulate VoIP?

This is under consideration:
- Comply with FCC outage reporting requirements

Beneath are several of the regulations currently imposed on interconnected VoIP:

- Comply with FCC rules governing market entry/exit
- Comply with 911 and E911 requirements
- Contribute to the Universal Service Fund (USF),
- Telecommunications Relay Service Fund (TRS) and related funds
- pay FCC regulatory fees
- Comply with Local Number Portability (LNP) rules
- Comply with customer privacy/marketing restrictions (CPNI)
- Comply with Communications Assistance for Law Enforcement Act (CALEA) requirements
- Subject to fines/enforcement action for 1st FCC violation

These do not apply yet:

- Comply with state rules governing market entry/exit
- Comply with FCC slamming guidelines

Naturally, the divide between telecom and info service is no longer viable. If VoIP service providers are to be regulated, then it may be high time for a new regulatory structure.

Check out for a lot more details on how you are going to enhance your advertising techniques by means of a VoIP service providers. We also offer useful info relating to business telephone system as well as finding a VoIP provider which will aid your company with its communication demands.

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