Can Verizon Cheap Telephone Service Plans to Bundled Subscribers?

[David Farber <dave () farber net>]

Begin forwarded message:

From: Rob Frieden <rmf5 () psu edu>
Date: February 17, 2009 4:18:04 PM EST
To: dave () farber net
Cc: ip <ip () v2 listbox com>
Subject: Can Verizon Cheap Telephone Service Plans to Bundled  
Subscribers?

Hello Dave:

        For IP

        Several press outlets have disclosed that Verizon may offer  
very low cost telephone service options available only to subscribers  
who already have Verizon-provided Internet access. See http://uk.reuters.com/article/rbssTechMediaTelecomNews/idUKN1735246920090217 
.
One $5 plan would limit outbound calling to 911 emergency and Verizon  
customer service, while a $10 plan would include some regular outbound  
calls.

        The last time I checked Verizon remained a common carrier  
telecommunications service provider obligated to file local telephone  
service tariffs and subject to non-discrimination requirements  
contained in Title II of the Communications Act. I do not believe  
Verizon can lawfully offer a telecommunications service limited to a  
select group of customers who “qualify” to take this service if and  
only if they also buy Internet access from Verizon.

        Perhaps this low cost Verizon service is not circuit switched  
telephone service, but Voice over the Internet Protocol (“VoIP”)  
service instead. Arguably Verizon would have no tariff filing  
obligation, or nondiscrimination obligation for VoIP if classified as  
an information service. However if the FCC allows Verizon to offer  
this sort of pre-qualified customer access to VoIP service, the  
Commission may in effect validate the view that VoIP is not a  
telecommunications service, something Comcast recently emphasized in  
response to an FCC letter inquiring whether the company was favoring  
its VoIP service by exempting it from network management functions  
that could throttle VoIP offered by competitors.

       Regards,

       Rob Frieden





















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