: Job loss warning over web phone call rules

[Dave Farber <dave () farber net>]

-----Original Message-----
From: Claudio Gutierrez <cgutierrez () improvement cl>
Date: Wed, 25 Feb 2004 10:22:14 
To:Dave Farber <dave () farber net>
Subject: Job loss warning over web phone call rules

Michael Powell, Federal Communications Commission chairman, on Tuesday 
warned that excessive regulation of telephone calls made over the 
internet could cause job losses in the US.

This month the FCC began proceedings to determine how to regulate Voice 
over Internet Protocol (VoIP) technology, which allows consumers to make 
telephone calls over the internet, sometimes completely bypassing 
traditional telephone wires.

Mr Powell argues that a minimally regulated environment would benefit 
consumers by furthering investment in the nascent technology.

But on Tuesday he attempted to bolster the case for light regulation, 
saying that a "hostile" regulatory regime for VoIP would drive US 
companies overseas.

His remarks come as lawmakers focus on the issue of outsourcing overseas 
and US companies relocating abroad as the November elections approach.

Testifying before the Senate commerce committee, he added that the FCC 
would lose jurisdiction if companies moved offshore.

<snip>

Mr Powell told the committee that VoIP was helping to reinvigorate the 
telecoms sector, but cautioned that regulatory uncertainty was one of 
the clouds hanging over the industry. He added that VoIP was changing 
the face of telecommunications as traditional telephone companies begin 
to roll out VoIP packages.

"Not only are they going to [move towards VoIP], they have to," said Mr 
Powell. "If you're not, you're going to get crushed."

http://news.ft.com/servlet/ContentServer?pagename=FT.com/StoryFT/FullStory&c=StoryFT&cid=1075982792922&p=1012571727260&ExpIgnore=true

-- 
Claudio Gutiérrez
Business Improvement Ltda.
http://www.improvement.cl


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