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July 2005
volume ix, number 7
Top Story
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Customer Spotlight
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Product Spotlight
NPA-NXX
Updates |
News &
Stuff
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Top Story
Supreme Court Rules
Cable Companies Don't have to Share Broadband
The Supreme Court upheld
an FCC decision in late June that classifies internet access via
cable lines as an "information service" and exempts cable companies
from sharing those lines with rival internet service provider.
The ruling seems to
create a discrepancy between broadband service provided by cable
companies and that offered by phone companies. Phone companies are
required to share their broadband lines with competitors, since they
are classified as telecommunications services. The regional
telephone companies are now calling on the FCC and Congress to fix
that disparity by lessening regulations for phone companies as well.
The FCC is likely to take up that issue at sometime in the near
future. But the task of setting a regulatory framework that works in
today's environment may be more challenging in light of the Court's
decision.
FCC Commissioner Michael
Copps said in a statement, "In the wake of the decision, the FCC
confronts the challenge of protecting consumers, maintaining
universal service and ensuring public safety in uncertain legal
terrain. Today's decision makes the climb much steeper."
Other FCC Commissioners, however, offered a more positive outlook on
the decision. Chairman Kevin J. Martin stated that the "decision
provides much-needed regulatory clarity and a framework for
broadband that can be applied to all providers."
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News &
Stuff
Expanded Local Calling in Michigan Denied
Chippewa County
Telephone Company, Hiawatha Telephone Company, Midway Telephone
Company and Ontonagon County Telephone Company jointly filed an
application for expanded local calling in the Upper Peninsula of
Michigan in mid-March.
However, in mid-June the Michigan PSC
denied the request saying that many customers as well as others
"questioned whether the extra costs involved justified the ability
to make local calls far removed from their communities of interest."
Kentucky PSC Questions
"Unlimited" Calling Plans
After receiving several
complaints the Kentucky PSC launched an inquiry into "unlimited"
calling plans. Consumers were being billed additional charges for
exceeding plan limits.
The Commission is concerned with the
way the plans are being promoted, how customers are informed of the
plans' limits and how they are notified when the limits are
exceeded. The PSC said, "it preliminarily finds that the practice
of offering a calling plan that is labeled, described or marketed as
‘unlimited,' when, in fact, limits exist on those plans is
potentially deceptive and, therefore, unreasonable."
Companies offering restricted
"unlimited" calling plans will have until July 22nd to
justify the practice.
Missouri PSC Suspends
AT&T Tariff
The Missouri PSC suspended a tariff filed by AT&T Communication of
the Southwest in which the company seeks to terminate the monthly
recurring prorated charges which are applied when a month-to-month
business customer cancels service prior to the end of a billing
cycle.
Currently, when a business customer
cancels, the final charge is based on the number of days service was
active. Under the proposed tariff AT&T would be allowed to bill for
the full month regardless of when the cancellation is requested.
Until the Commission can determine
whether or not the proposed change is lawful and reasonable, it will
remain suspended.
New Regulatory Plan for
Qwest Approved
The Colorado Public
Utilities Commission orally approved, with minor modifications, an
agreement that will allow Qwest to have pricing freedom for some
telecommunications services where competitive choices exist.
As part of the decision, the PUC
retains control over the first line at a residence and basic service
to businesses with five lines or less across the state, capping the
cost at $15.00/month for a residential line and $35.00/month for
each business line. However, in the Denver Metro area and most of
Colorado Springs, Qwest will be permitted to set prices on nearly
every other service it offers, including voice mail, call waiting
and caller ID.
In addition, Qwest will no longer
have to credit $6.00/year per line to residential customers and
$12.00/year per line to business customers. The credit was related
to a legal settlement in the mid-90s reached between the PUC and US
West.
A written decision from the
Commission is expected at the end of June. Implementation of the
plan is expected within 90 days of the final decision being issued.
Time Warner Telecom
Extends Long Term Service Agreement
Time Warner Telecom has extended its long-term service agreement
with SBC and AT&T under which those companies provide special access
and other "last-mile" network services. The extension, which is
contingent on the completion of the SBC-AT&T merger, moves the
agreement's expiration to 2010.
Chairman Martin
Announces Deregulatory Agenda
In early June FCC Chairman Kevin Martin announced an agenda that
will extend the deregulatory program of his predecessor, Michael
Powell.
Specifically, Martin plans to foster
a regulatory environment in which broadband deployment is a top
priority. "Broadband technology has a real impact on almost every
aspect of consumers' lives," Martin said. "It has a significant
impact on the economy as a whole."
Martin continued by stating that the
FCC's job is to "level the playing field" for telecom providers. As
such, he will continue to promote a light touch when it comes to
implementing regulations. In the same manner, the FCC will likely
move toward less regulation for wireless as well.
He also addressed the need for
policymakers to "re-examine the traditional mode of regulating
communications based on the type of network (e.g., cable, wireline,
wireless) used to deliver services." Under Martin, the FCC is
working to devise a framework to govern new IP-based services. The
rules should be issued late this year or early next year.
Verizon-MCI Declare
Merger is in the Public Interest
In a joint filing, Verizon and MCI told the FCC that the combination
of the two companies will benefit the public "by creating a strong
new competitor for enterprise customers nationwide, enhancing
investment in the nation's critical infrastructure, and establishing
the nation's most advanced broadband platform, capable of delivering
next-generation multimedia services in markets across the country."
The filing was in response to comments filed against the impending
merger by industry competitors and others with the FCC in early May.
The companies continued supporting
their claim by saying, "There is no credible risk that this
transaction will foster a duopoly for large enterprise customers, or
that the combined company will stop competing with its major rivals,
including AT&T. "To the contrary, the main purpose of the
transaction is to promote even greater competition for these
customers and to allow the combined company to compete more
effectively nationwide."
To read the filing in its
entirety please visit Verzion's website at
http://newscenter.verizon.com/proactive/newsroom/release.vtml?id=91438
or MCI's at
http://global.mci.com/about/news/news2.xml?newsid=14851&mode=long&lang=en&width=530&root=/about/
Report on Status of
Telecommunications Competition in Michigan Released
The Michigan Public Service Commission released its fifth annual
report on the status of telecommunications competition in Michigan.
The results show the "Michigan continues to be a leader in the
nation in offering telecommunications choice to customers," said
MPSC Chairman J. Peter Lark. The report examines the state of
competition in the toll and local exchange markets.
Highlights of the report include:
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The actual number of
competitive providers and lines in Michigan has grown over the
last six years from a 4 percent share to a 27.5 percent share at
the end of 2004, with the total number of lines decreasing.
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Competitive
providers' market share is approximately 32.6 percent of SBC
lines.
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The number of
licensed competitive telecommunications providers in Michigan
has grown from 120 in 1999 to 202 in 2004, a slight increase
from 2003.
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The total number of
phone lines in Michigan has fallen from 6,726,971 in 1999 to
6,103,250 in 2004, reflecting a loss to wireless and Internet
telephony.
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While the MPSC
does not regulate wireless providers, information gathered by
the Federal Communications Commission (FCC) indicates that the
number of wireless subscribers in Michigan increased 11 percent
from 2003 through June 2004 to 5,430,637. The FCC's report notes
that Michigan has 13 wireless carriers with over 10,000
subscribers each.
To view the entire report please
visit the MPSC website at
www.michigan.gov/mpsc
Qwest Agrees to pay $1.05 million
penalty
The Oregon PUC is asking the Marion Circuit Court to fine Qwest
Communications Inc. $1.05 million dollars for failing to file 29
contracts, between Qwest and other telecommunications companies,
with the Commission. Qwest agreed to the fine without admitting to
any unlawful behavior.
The Commission Staff testified that
"the contracts were used to settle past billing disputes and provide
favorable billing arrangements with companies that lease space on
its network. Staff believes the contracts were used in order to
gain favor for the company's merger with US WEST and to avoid
opposition to filing with the Federal Communication Commission to
enter the intra-state long-distance business." Qwest said it agreed
to the fine in order to avoid additional litigation but disavows the
findings by Commission Staff.
Of the 29 contracts in question, 13
were classified as major violations (favoring one telecommunications
company over another) and 16 were classified as minor
(non-discriminatory). Major violations received a $50,000 fine
with minor violations receiving a $25,000 penalty.
FCC Launches Inquiry
into the Universal Service Fund
In Mid June the FCC launched an inquiry into the management,
administration and oversight of the Universal Service Fund. The
Commission hopes to improve the operation of the program. The
proceedings will assist the Commission in finding new ways to meet
the needs of those who depend on the USF and protect the integrity
of the program.
Specifically the Commission is
seeking comment on the following:
Managing the Program:
The Commission is exploring ways to simplify and streamline the
management of the program.
Improving Oversight:
The commission seeks comment on the effectiveness of the
existing efforts to protect the fund against potential misuse.
Administrative Structure:
The Commission is examining the effectiveness of the existing
administrative structure and seeks comment on whether any rule
changes are needed to ensure the USF is administered in an
effective, competitively neutral way.
Performance Measures:
The Commission is seeking comment on establishing performance
measures to assess the effectiveness of the program.
For additional information on the Universal
Service Fund and the inquiry please visit the Federal Communications
Commission website at
www.fcc.gov
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Georgia PSC Determines Fate of NPA
706
The Commission met in mid-June to
discuss the issuance of a new area code for the area currently
served by NPA 706. Georgia's new telephone area code will be NPA
762 and will overlay the area currently served by NPA 706.
Ten-digit dialing of all calls in the area will be mandatory.
Permissive ten-digit dialing is scheduled to begin September 1,
2005, with mandatory ten-digit dialing starting April 3, 2006.
Calls
to El Salvador Require 8 digit dialing
Telephone numbers in El Salvador have been changed from 7 to 8
digits. Callers must now add a "2" before the city code for calls
going to fixed networks and a "7" before the city code for all calls
placed to mobile networks. The new digit is inserted after the 503
country code for all from the U.S. to El Salvador.
Thank you to one of our longtime
subscribers, Carlos Daniel Rivas, for sharing this news with our
entire audience.
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Customer
Spotlight
Congratulations to
Tele-Tech's clients that were recognized at the Billing & OSS World
2005 Excellence Awards:
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Convergys was
honored as a finalist for "Best Overall Company"
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VeraSign was
selected as a finalist in the "Best Integration Project"
category
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BCGI Inc. was
a finalist in the "Best New Product" category
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BCGI Inc. was the
winner for the "Achievement in Innovation category" for its
Mobile Guardian product. Mobile Guardian enables service
providers to package and sell existing network assets in new and
ionnovative ways. It allows dynamic filtering and parental or
employer controls to give end users greater self-management for
next-generation data services on the horizon.
We proud to support the best and the brightest in the telecom
industry! Congratulations to all the finalists and winner!
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Product
Spotlight
Product
Spotlight: Calling all ISPs!
Tele-Tech is
continuing the process of phasing out our Tele-POP database for
ISPs. Most of our ISP customers have already upgraded to our
Localizer database. But for smaller ISPs, both Tele-POP and
Localizer may not be cost effective options.
We're currently
considering a low-cost solution geared toward smaller ISPs that
would enable you to write a script to access our local calling area
data via the web to recommend a local POP to subscribers. The
service would be priced based on the number of times the data is
accessed, rather than one rate for a nationwide or statewide
database, which is more information than most ISPs need.
But we need your
help...We're looking for ISPs to assist us with market research for
this project. If you'd be willing to answer a few questions
regarding your interest in this type of service and how you'd use
it, please contact Kimberly Russo at
krusso@telecomdb.com or 800-433-6181
x7103.
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