In what may be the biggest news pertaining to the FCC since Kevin Martin was selected to lead the commission, California is giving up its appeal to the Federal Communications Commission rule designating VoIP as an interstate service beyond state control. While VoIP is obviously an interstate service beyond the jurisdiction of a single state, other states are appealing the ruling as well.
I suspect California will not be the last state to throw in the towel on this issue. This article in the LA Times written by Jim Granelli, one of the most knowledgeable telecom reporters I have met, details the situation nicely.