Federal Court Throws Out Minnesota VoIP Regulation 92
An anonymous reader submits: "Voxilla reports that the FCC will announce Friday that 'a federal court has issued a permanent injunction against a recent ruling by the Minnesota Public Utilities Commission to regulate Voice over IP provider Vonage as a telephone company.'
This is a significant move towards stopping recent movement by states to regulate VoIP -- most notably, California vs. VoicePulse and Wisconsin vs. Packet8."
Re:Calling all the militia (Score:4, Insightful)
and give it a few more years with no more major terrorist attacks (or alot of attacks) and the american public (hopefully) wont be so happy-go-lucky about endorsing things labeled as "security" or "defense" or
the scary part is the stupid laws are starting to trickle over to the EU
What constitutes a telephone company? (Score:5, Interesting)
I'd say the difference is quite minimal for the end user.
I'm just rambling, but I'd sure like to hear my fellow Slashdotters' thoughts.
Re:What constitutes a telephone company? (Score:5, Interesting)
What's the reason for regulation of regular telephony companies anyway? Rate regulation is one of them, and that wouldn't really apply to VoIP, since the service it flies on is generally already regulated by the FCC (http://www.fcc.gov/broadband/).
I can't see any reason to regulate a service that runs on a regulated service... seems like it's from the Department of Redundancy Department.
Re:What constitutes a telephone company? (Score:3, Interesting)
My understanding is that there are certain requirements and expectancies from phone companies that aren't expected from ISPs. Services like 911, efforts to maintain uptime and reliability, etc.
One can be rightfully cynical of regulations. But at the same time, one should also note that often without regulations or a lot of external pressure, the companies won't
Re:What constitutes a telephone company? (Score:2)
by then, it may be too late and people will complain about how the government didn't do anything to protect the people knowing that companies providing VoIP don't have to live up to the same standards
and realized you're probably right. Although it would be nice to think "If the service isn't good, then people won't pay for it, and companies will have to o
Re:What constitutes a telephone company? (Score:2, Insightful)
If unregulated VoIP proves significantly cheaper then regulated telephone service, then one can expect customers to migrate en-masse away from the regulated providers. At some point, it may then become uneconomic for those providers to continue in business, at which point nobody is required to provide 911 service - the new VoIP firms don't because they're not required to, and the old PST firms don't becasue they no longer
Re:What constitutes a telephone company? (Score:2)
Sounds good to me. Why don't we want those things? Why is it bad to regulate a telephone company as if it were a telephone company?
Re:What constitutes a telephone company? (Score:1)
I'm all for regulating them, but only after the technology develops, and real needs for regulation are identified. Right now, can you say you know what a
Re:What constitutes a telephone company? (Score:2)
Some needs for regulation are already identified: features and guarantees that telephone subscribers have come to believe are basic standards.
We nee
Re:What constitutes a telephone company? (Score:1)
More reliable on the whole, not on an individual basis. A DDoS can knock down entire ISPs. Making sure their service is up and running is one thing, but how can they have the same standards of service as telephone companies when the critical bit of infrastructure required for those standards of service are not controlled by them? This would leave
Re:What constitutes a telephone company? (Score:2)
[Mama Mousekewitz voice] You have only *one* ISP?
A critical part of the reliability of a packet network is redundant routes. Anybody who provides an Internet service and has everything running through one pipe, or one upstream provider, needs to rethink his business plan.
Now, the *subscriber's* ISP is another story. The path from the subscriber to the VoIP provider is analogous to the cable between the subscriber's phone and the service entrance, where ownership pass
Re:What constitutes a telephone company? (Score:2)
Probably not too far off the mark. Just for fun, let's turn things around about an unregulated service.
For starters, 911 calls will be blocked
No listing in the ILEC directories
No listings on 411
No enforcement of harassing/obscene phone call laws, conversely what happens when a VoIP customer makes the calls?
No g
what constitues a regulatable service? (Score:1)
1) A few of the VoIPs get bought out or shareholder owned/staked-out by major cable companies.
2) VoIPs adopts a universal/national standard as a result of a consotium of these companies huddling together "looking for interoperability."
3) a major cable provider offers/advertises this standardized VoIP service "free with their broadband se
Re:What constitutes a telephone company? (Score:3, Informative)
The entire justification for regulation is their monopoly status. Because there is only one set of wires carrying dialtone, and they own it, they are regulated. Wireless carriers aren't regulated-- there's a federal law prohibitting it-- because there's no monopoly of the medium. Regular phone companies are subject to regulation based solely on the fact that they own the copper pair, or are resellers of service on that copper pair. Bec
Re:What constitutes a telephone company? (Score:2)
So the body of law that would effect the regulated telecommunicatio
Re:What constitutes a telephone company? (Score:4, Interesting)
Traditional phone companies, have to run towers, wires and connect the planet. Which usually means that they will completely own the infrastrucute, and thus what can and can't pass through it. Hence you get a monopoly like MaBell. This is why the FCC stepped in originally, to protect the consumer from unfair inflation hikes. How can you have capitislm when you have no option? (That isn't being patriotic, more or less, I like to save money)
VoIP on the other hand is simply more data, on the internet, and since there is a standards (i assume) my VoIP company can interface with your VoIP company, and both of us will be in direct competion. Thus the FCC shouldn't need to regulate based on consumer protection.
The other problem w/ the FCC stepping in is, what determines VoIP? Will my Roger Wilco voice chat's with people in game come under the FCC rulings? Will AOL IM then be under they're control, (that might be a good thing, still waiting for a universial IM system)? Then how long before forum posts like this are considred in the domain of the FCC? (ok that's streching it a little, but you get my point)
Re:What constitutes a telephone company? (Score:1)
Re:What constitutes a telephone company? (Score:2)
The tax issue is definitily why States are looking into it as it is a loss of revenue stream for them, just as they have gone after Internet shoppers to pay State taxes (some states). This means potentially that they would have to find another tax to impose to keep their er. budgets up. Which is politically unpopular. It is easier to justify have an existing tax chase a scofflaw around, who knows you could be a hero.
The law g
Re:What constitutes a telephone company? (Score:1)
Re:What constitutes a telephone company? (Score:1)
Re:What constitutes a telephone company? (Score:4, Interesting)
General Motors is not a Horse-Drawn Carriage manufacturer, nor is Vonage a phone company.
Just because they serve the same user space as phone companies, doesn't make them the same animal.
Re:What constitutes a telephone company? (Score:2)
Re:What constitutes a telephone company? (Score:2)
Re:What constitutes a telephone company? (Score:2)
What is a telephone? ('IS' in the reality AND philosophical sense)
Answer that, and the answer will be pretty obvious. Rather than all this dicussion about is VoIP phone service, someone should decide what a frickin telephone is first.
Otherwise, this whole issue is just the 'sound of one hand clapping'. Ok for normal references, but when there are laws about it, that's not good enough anymore.
Re:What constitutes a telephone company? (Score:2)
No, with VOIP, the marketing will not be as heavy at dinnertime.
Re:What constitutes a telephone company? (Score:1)
Re:What constitutes a telephone company? (Score:1)
Re:What constitutes a telephone company? (Score:4, Insightful)
No they're not, and no they don't. They are like any other private company out there with an on-site telephone system using Direct-In-Dial. Let me explain how it works:
With DID, you reserve a block of, say, 250 phone numbers. Not 250 lines, just the numbers. These are purely for addressing. Each extension in your company is assigned one of these numbers. Incoming and outgoing calls are handled by, say, a couple T1's. This gives you a pool of 48 lines for incoming and outgoing calls. Many companies and universities do this, and they aren't phone companies. At UCLA they'll even charge you monthly for the DID line, like a phone company! Vonnage is doing exactly this: selling you the use of an extension on their phone system. The only difference is that the extension isn't in their office, it's delivered over the Internet. Delivering a service over the Internet isn't in itself regulable, nor is selling DID phone service managed by private equipment.
Basically, Vonnage isn't delivering service on monopoly infrastructure, they are simply connecting to it like any other business.
Re:What constitutes a telephone company? (Score:2)
No they're not, and no they don't. They are like any other private company out there with an on-site telephone system using Direct-In-Dial. Let me explain how it works... (much more deleted)
That's not exactly how it works. If that is how it works, then Vonage would not have been able to transfer my existing phone number to their service that I'd had with the local monopoly for 16 years before that. Surely it is not magically in some block of numbers they have. Their trunks are clearly integrated in the
Re:What constitutes a telephone company? (Score:2)
Re:What constitutes a telephone company? (Score:2)
VOIP company doesn't use public resources directly, so the public can not ask for anything.
Re:What constitutes a telephone company? (Score:2)
Re:What constitutes a telephone company? (Score:1)
Re:What constitutes a telephone company? (Score:2)
California VOIP regulations? (Score:2, Funny)
"Your connection has been terminated!"
"I'll call you back"
"Hasta la vista, baby bell"
Isn't Echelon enough already? (Score:5, Interesting)
and, on a related note, will Microsoft be compelled to register as a bank? People use their technology to do online banking you see...
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Hmm (Score:5, Insightful)
Shock Horror! (Score:2, Funny)
This is America, it's our God given right to make money from nothing, you commies!
</SARCASM>
-A
My 73 yo father (Score:5, Interesting)
Now, he bugs me with his fancy new voip connection. But, I am sure he never lobbied in Minnesota for their decision.
Re:My 73 yo father (Score:2)
I wish my grandfather (great-uncle's brother) had lived longer - he would have loved all this stuff.
Anyway, it's always fun finding your older generation keeping up with this stuff, and in some cases surpassing the current generation.
Re:My 73 yo father (Score:2)
Re:My 73 yo father (Score:2)
Amend that, make it say "the government doesn't care about allowing us to make ourselves high tech."
Re:My 73 yo father (Score:2)
Spam/no-call? (Score:5, Insightful)
Vonage had maintained that it does not provide telephone service. Instead, lawyers for Vonage contended, the company offers data services over the internet
Where does this put VoIP with regards to telemarketers? If it's a data service, the FTC no-call list [slashdot.org] can't be applied, can it? Does this mean a call from a telemarketer to a VoIP-phone could be classified as spam?
Re:Spam/no-call? (Score:1)
On the other hand, they can't block caller ID (caller IP, I guess), so Spamhaus type outfits could be created for VoIP. Serious point, though...
Ibix
Re:Spam/no-call? (Score:1)
Re:Spam/no-call? (Score:2)
Think of the phone system as a network with each access point given its own 10-dibit address. The DNC list is strictly a list of addresses the telemarketers are not allowed to dial. Doesn't matter what sort of device is on the other end, nor how that device is communicated with (copper loop, wireless, TCP/IP network). They simply cannot call that number.
Re:Spam/no-call? (Score:2)
You can't put an IP on the DNCL. Since most end-user IPs are dynamic anyways, it'd be pointless.
this might be bad (Score:5, Insightful)
Re:this might be bad (Score:5, Insightful)
Re:this might be bad (Score:3, Interesting)
Mod parent up, excellent point.
The problem is that VoIP companies don't meet a lot of the service criteria that a POTS company does. Consider the example of making a VoIP call via your cable modem over your local provider's fiber backbone, over a microwave link, connecting to a satellite, to two tin cans tied together with a string somewhere in central Angola. Nowhere in there have you used anything that could be traditionally construed to be a "phone call". Welcome to the information age.
While you're
Oh, they understand it all right. (Score:3, Insightful)
I've said a couple of times before that the federal tax that we pay for landline and cellphones was originally a temporary measure in 1898 to finance the Spanish-American War [ecommercecommission.org].
VOIP is an opportunity to get out from under all of this stupid infrastructure. Even without 911 service, I am all for it.
VoIP is the future (Score:4, Interesting)
1) Roughly 50% of their voice revenue stream comes from per minute connection charges, other carrier access charges, & regulation charges (govn't). These will evaporate when subscribers move to data driven VoIP (ie: you pay a flat fee for DSL or cable modem bandwidth now, and it can run all your voice calls to anywhere in the world). Eventually the PSTN connection part will no longer be necessary, so Vonage will disappear as we know it today, but it has finally woken up the telcos to what the future will bring.
2) Pretty much the other half of their revenue stream comes from the 'premium' voice feature services (call waiting, text messaging, etc), all of which are quickly moving from the class 5 switch into the phones themselves (aka: free).
What do you do when your primary revenue stream evaporates? Fight it in the courts or with govn't officials. Remember, govn'ts have been taking a nice chunk of that revenue for themselves as well.
We will have to move to a bandwidth & quality of service (QoS) based payment style. A minimum bandwidth is given for a flat rate (which will include -all- voice), and extra bandwidth will be provided on demand at an agreed QoS. The higher the bandwidth & QoS, the higher the fee.
Things to watch out for: VoIP everywhere, SIP phones/services, VoWLAN, current voice carriers moving their infrastructure to their IP networks, and govn't regulations dictating that comm lines (called data services & unregulated) become regulated for QoS.
The companies that move to this model last will not survive. They aren't going to like this.
Re:VoIP is the future (Score:2)
BTW you missed one thing you can do when your primary revenue stream evaporates: buy a big chunk of the guys who are evaporating it and live off *their* growing revenue stream.
I'm trying to imagine how the telcos will move their infrastructure to their IP networks, seeing as how their IP networks run on top of the current infrastructure. Voice is *already* data by the
Re:VoIP is the future (Score:2)
Damn straight. The beauty of the current PSTN is that the technology at the customer end doesn't have to be any more complicated than it was 100 years ago, all centrally powered and battery backed. If everything went VoIP, I'd be OK, 'cause I've got a ridiculous UPS system keeping my router and such alive; but what about, say, my mother? Gimme that 48v loop for reliability.
Where do you draw the line? (Score:3, Insightful)
Do you tax the providers who provide a circuit switched network, but not those who use a packet switched network? (as seems to be the case here, never mind that a lot of phone companies use ATM/AAL1 on the backhaul anyhow)
Do you tax a provider who provides you with a physical FXS connection, but not a provider who lets you make calls by some other method? (e.g. h.323 to a peering point which connects to a bunch of DS1s)
Do you only tax the incumbents, because their lines are running through public space and were paid for with public money? (this one almost makes sense)
Where do you draw the line?
Re:Where do you draw the line? (Score:3, Funny)
This is Minnesota we are talking about. Of course the answer is yes.
Re:Where do you draw the line? (Score:2)
On top of that I am paying much less in income tax despite making 50% more here than I was in NY. I like Pawlenty who just up and cut spending when the state was facing a deficit not raised taxes or sold bonds as is common practice in most states. I pay les
This would be GREAT (Score:3, Insightful)
It still could be great. (fyi) (Score:1)
ah, but you don't need your local company to provide dsl (well, you might depending on your area) all you need is their wires.. but check with other ISP's in the area. For instance, in quite a bit of NY state, Logical Net [logical.net] provides DSL service, and they simply use verizon's [verizon.net] (or your local bell's) wiring (for a meager fee) and boom, you have lovely DSL [logical.net], without even talking to your all powerful bellco [cedmagazine.com] Then, there's Roadrunner [rr.com], and other cable modems, as you all know, but if you can't get ANY other hig
Re:It still could be great. (fyi) (Score:2)
quite odd.. (Score:1)
the phone service was never turned back on, even after paying it off, I had a cell I primarily used and never an issue.. I can't say definatively they would have turned it on, without active phone service, but they never asked, any of the times, or companies I've had dsl with (which is many)
Good or Bad? Can't tell yet. (Score:4, Informative)
The problem is that we don't have the actual court ruling. We know that the court issued a permanant injunction agains the MPUC's ruling, but we don't know why. We don't know if it's been thrown out for procedural problems. If so, then MPUC simply corrects that procedural problem, makes a slightly different ruling that has the same effect. But if the ruling agrees with the VoIP providers as to what they're offering and why it's fundamentally different than what the LECs offer, then it sets a strong precedent and it impacts every PUC in the US.
Unfortunately, we don't know yet. And we won't know until the ruling is released on Oct 10. So while I'm cautiously optimistic, that's just me being hopeful. It's not reflective of any evidence.
Re:Good or Bad? Can't tell yet. (Score:2)
SO... When is the annoucment from the Bells? (Score:1)
1. Have regional monolopy with 2 token "competiors"
2. Change business model to become unregulated.
3. More Profits by reduced costs!
MCI commercial & VOIP (Score:3, Interesting)
The cc portion is pushing a VOIP company (can't recall the name) which is probably owned by MCI, while the voice & video portions are pushing MCI's latest calling plan. I find it interesting that one commercial appears to be pushing two completely different services.
I've seen two different versions of it too, so it appears not to be an error.
One reason banks may be exempt (Score:1)
This is taxing the internet (Score:1, Insightful)