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David C. Bergmann Telecom Policy Consulting for Consumers Moderator

WHAT THE IP TRANSITION MEANS FOR CONSUMERS AND A UBIQUITOUS, AFFORDABLE, RELIABLE NATIONAL COMMUNICATIONS SYSTEM . David C. Bergmann Telecom Policy Consulting for Consumers Moderator. WHAT THE IP TRANSITION MEANS FOR CONSUMERS. Partial (recent) legal context

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David C. Bergmann Telecom Policy Consulting for Consumers Moderator

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  1. WHAT THE IP TRANSITION MEANS FOR CONSUMERS AND A UBIQUITOUS, AFFORDABLE, RELIABLE NATIONAL COMMUNICATIONS SYSTEM David C. Bergmann Telecom Policy Consulting for Consumers Moderator

  2. WHAT THE IP TRANSITION MEANS FOR CONSUMERS • Partial (recent) legal context • Verizon v. FCC, 740 F.3d 623 (D.C. Cir. 2014) • In re FCC No. 11-161 (1oth Cir. May 23, 2014) • FCC • IP Transition Trials (GN 13-5) • AT&T Trans Trials (GN 13-5) (AL & FL) • Verizon short-term change notifications (VA & NY)

  3. CAVEATS My views, consistent with NASUCA views “Black letter law” unlikely As Justice Jackson said, "We are not final because we are infallible, but we are infallible only because we are final.” Brown v. Allen, 344 U.S. 443, 540 (1953)

  4. VERIZON v FCC Verizon’s appeal from FCC rules requiring disclosure and forbidding discrimination in Internet access service Court upheld the disclosure rules but vacated the anti-discrimination rules and anti-blocking rules FCC had failed to establish that these rules do not impose per se common carrier obligations Because FCC had previously classified broadband providers as exempt from treatment as common carriers

  5. VERIZON v FCC • NASUCA perspective • BB should be reclassified; it’s not just information. • Scalia and pizza in Brand X • Is BIAS telecom, info, or both? Yes! • VoIP, for sure, is telecommunications. • Easier, and more lawful, to reclassify, but probably won’t happen • So how do we ensure enduring public values if not?

  6. NASUCA, et al., v FCC(Re: FCC 11-161, 10th Cir.) • Reminder: 30 appeals from FCC “Global USF/ICC Transformation Order”; oral argument held 11/19/13 • Decision upheld Order in all respects • NASUCA issue (ARC charge): failure to file Pet for Recon meant waiver • Big picture issues • B&K for all ICC is OK • CAF for small rural carriers is OK, too

  7. TIMELINES AT&T Trans Trials experiments: FCC decision w/i 60 days of reply comments = 6/9/14 Verizon network changes: Auto approved w/i 90 days of PN = 8/18/14 Open Internet Rules comments 7/15/14, replies 9/10/14

  8. AND ALL THE OTHER STUFF TO TALK ABOUT ON THIS ROUNDTABLE • IP Transition Trials (GN 13-5) • INS withdrew, so numbering & rural EoIs about it • AT&T Trans Trials (GN 13-5) (AL & FL) • Note the schedule! • Verizon short-term change notifications (VA & NY) • Note the schedule! • Open Internet rules • Comments due 7/15/14, replies 9/10/14

  9. HOW WILL THE INTERNET TRANSITION IMPACT RURAL CUSTOMERS • Depends on whose customer you are • AT&T/Verizon • Wireless the only alternative • No broadband except cable, Trans Trials EoIs • “Mid-size” • Seem to be doing OK • Small • Ditto

  10. HOW WILL THE INTERNET TRANSITION IMPACT LOW-INCOME CUSTOMERS • Impacts already: price increases, bundling, wireless • Choice of over-priced services; cord-cutting (or never getting one) • Depends on who your carrier is (see previous slide) • The poor are just like us; they just have less money • Fewer and more difficult choices in the Internet world • But the issues that plague all consumers plague low-income consumers

  11. QUESTIONS • What is the IP Transition? • How does the rise of the Internet and alternative forms of communication affect the transition from traditional telephone service to VoIP? • What is the difference between fixed or interconnected VoIP and “over-the-top” or independent VoIP service and why should we care?   • How do traditional telephone service and VoIP service compare in terms of availability, functionality, quality, and price?   • What consumer protection issues arise with respect to the IP Transition?   • How are issues such as service quality and customer migration related to the IP Transition?   • How will the IP Transition affect rural customers?   • What are the implications of the IP Transition for low income customers?   • Do net neutrality rules affect telephone service?   • How have the technology changes of the last 25 years affected consumers’ expectations and use of the telephone network? • Competition after the IP Transition: should we still be concerned about monopoly ?

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