The Federal Communications Commission today invited carriers to start testing the process of migrating customers away from copper wires to IP-based networks. The agency is calling for voluntary tests of “providing IP-based alternatives to existing services in discrete geographic areas or situations.” Proposals are due by February 20.
The FCC’s move comes after Verizon Communications decided not to replace some copper wires that were damaged during Hurricane Sandy. Initially Verizon wanted customers to convert to wireless-only service, but this plan met with resistance in several locations. Eventually the carrier relented and agreed to install fiber on Fire Island, which Verizon described as a location with an “insatiable appetite for Internet.”
The FCC realizes that in some situations carriers are interested in converting customers to higher-margin wireless services and abandoning the expenses associated with copper. But a large portion of the communications in the U.S. cross copper wires at some point, including many calls made from mobile phones. Furthermore, the FCC needs to insure that all Americans have access to first responders and to affordable communications. The agency says its experiments will focus on “how the enduring values underlying operation of today’s networks can be preserved and enhanced throughout technological change.”
The commissioners delineated these “enduring values” as follows:
Public safety communications must be available no matter the technology
All Americans must have access to affordable communications services
Competition in the marketplace provides choice for consumers and businesses
Consumer protection is paramount
Chairman Tom Wheeler (pictured) and all other commissioners voted in favor of the trials. After all proposals for service-based experiments are received on February 20, the FCC will accept public comment and reply on the proposals until March 31, and then will make a final decision on the proposals at its May meeting. The trials will continue for one year.
Before today’s announcement, an FCC spokesperson told The Wall Street Journal that trials would be voluntary for consumers, implying that no one would be forced to abandon landline service. Small businesses can be particularly dependent on traditional phone service, and often rely on it for credit card processing.
This process could eventually be good news for cable operators that offer voice service. These companies are likely to win new voice customers if phone companies get approval to abandon landline service in some locations.
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