FCC further deregulates Net calls

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Translation...

FCC further prohibits regulation of Net calls.

Regulation of public utilities has always been up to the states, Congress, until recently, never having been able to come up with a plausible constitutional justification for regulating them at the federal level. The Telecommunications act did little more than restrict the ability of the states to regulate telephone and cable utilities in the traditional manner while doing little or nothing to insure that these deregulated markets would actually become competitive. Thus, phone and cable companies have been able to exploit their state-granted de-facto monopolies (and shut out would-be competitors) with little official interference; this is changing, but slowly.

It remains to be seen whether the VoIP market will actually competitive, or whether the existing phone companies and cable providers will simply establish de-facto monopolies over their existing territories. If the latter is the case, some sort of regulation will become necessary, whether the FCC wants it or not.

Posted by: John L. Ries   Posted on: 11/10/04 You are currently: a Guest | Members login | Terms of Use

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