USF tax and long-distance

A controversial proposal by Federal Communications Commission (FCC) Chairman Kevin Martin plans to hike the Universal Service Fund (USF) charges for phone users who make few or no long-distance calls. But what is long-distance any more? If you're a broadband VoIP user using Vonage, Packet8, etc. technically nothing is long-distance in the traditional sense of the word. Actually, a VoIP call from a Vonage user in Los Angeles to another user in Los Angeles travels a "long distance" since the IP packets have to travel from Los Angeles to Vonage HQ in New Jersey where an outbound call is made back to L.A. Even if Vonage has "local" gateways in California of their own or through an ITSP (such as Level3), the IP packets can still be routed across routers located in different states before finally terminating on the PSTN -- technically making it an intrastate long-distance IP call.

Of course, this new USF proposal is targetted at traditional landline users and not VoIP, but I'm sure some new USF tax on VoIP proposal won't be far behind.angry

| 0 Comments | 1 TrackBack

Listed below are links to sites that reference USF tax and long-distance:

USF tax and long-distance TrackBack URL : http://blog.tmcnet.com/mt/mt-tb.cgi/22860

Somehow I missed this yesterday with all the other breaking news, but Tom Keating posted the following incredible bit of information on his blog: A controversial proposal by Federal Communications Commission (FCC) Chairman Kevin Martin plans to hike th... Read More

Leave a comment

Recent Activity

Today

  • Tom Keating tweeted, "Spending 4th of July with in-laws on their lake-side house. Coming soon - fireworks!"

Friday

  • Tom Keating queued Star Trek
  • Tom Keating queued Stardust
  • Tom Keating queued The Fountain

Thursday

More...

Recent Comments

  • http://openid.aol.com/drdaraban: Yes, I confirm antonioj's comment, both skype and the app read more
  • cmytroops: I was browsing the net and cam across a great read more
  • mike: Sorry if this is off topic but I’m thinking of read more
  • @NumberGarage: Our military service men and women should be driving new read more
  • https://www.google.com/accounts/o8/id?id=AItOawlacBYIyCFI8mz5HS_pdsnSDV1wLz6Vgc8: We have implemented over 50 VoIP systems in the last read more
  • Theo Barton: Its a good phone. I have had a lot of read more
  • https://me.yahoo.com/a/ea7WMvNu2Mlud7dBwQPAAus9JCfo9qE-#27391: I don't want to go through all the problems, I read more
  • Claudio G.: I contacted these folks via e-mail recently (June 2009)and they read more
  • Kinjudah De- Morgan: I am using a strong satelite receiver and a Gateway read more
  • dell gx620: I have just had my second Dell. Thinking by spending read more

Subscribe to Blog

    View my Microsoft MVP Profile:

Blogroll

Entry Archives

Around TMCnet Blogs

  • Communications and Technology Blog - Tehrani.com:
    Problems at Joost
  • On Rad's Radar?:
    USF and Rural Reform
  • VoIP & Gadgets Blog:
    Worst Google News Headline Ever! - No public viewing
  • Communications and Technology Blog - Tehrani.com:
    Heading to Rhode Island
  • First Coffee:
    SugarCRM Studied, Broadband 'Crucial,' EGain, OOCOSPI, NetSuite's Zander
  • On Rad's Radar?:
    Bells Giving Up on Landlines?
  • The Readerboard:
    Tougher Actions To Save Telemarketing
  • VoIP & Gadgets Blog:
    eBuddy for iPhone Supports Push Notifications
  • Latest Whitepapers

    TMCnet Videos