FCC Ruling on VoIP Competition: Can Pure-Plays Survive on Their Own?
The decision by the Federal Communications Commission (FCC) today to limit the jurisdiction of state regulators over Internet-based telephone services allows for the creation of a cottage industry made up of small start-up and large established companies alike that will pave the way for innovation in the phone industry. Who are the real winners in this decision? What will the future hold for pure-play VoIP providers?
The FCC decision will ultimately benefit consumers by paving the way for a more competitive marketplace and greater choice, while encouraging VoIP providers to take full advantage of this technology to deliver cutting-edge features and services - at reasonable prices.
"While consumers are the clear winners with this decision, the future may not be as bright for pure-play VoIP providers that try to go it alone," said Richard Koch, president and CEO, RNK Telecom, a privately-held telecommunications wholesaler. "The public needs to be protected and assured that they will receive quality communications services for their money. For the most part, that responsibility still falls on traditional phone companies that must provide the connection between VoIP-enabled phone services and the current telephone networks. For the foreseeable future, pure-plays will need to tap into the assets of traditional phone companies to deliver the features and benefits of VoIP services that consumers expect."
At the other extreme, while traditional phone companies, like Verizon and AT&T, are well positioned to deliver on the promise of VoIP, they will have to adapt quickly and re-visit their consumer strategies as they contend with a new generation of competitors, in a market that is on the edge of a significant transformation.
To speak with Richard Koch, please contact Liz Campbell with fama PR at 617-758-4149, or liz@famapr.com.
About RNK Telecom
Founded in 1997, RNK Telecom is a privately-held telecommunications wholesaler for broadband providers, carriers and retail distributors. Through its operational efficiency, industry expertise and technical innovation, RNK Telecom delivers superior services and profit margins to its customers. Based in Dedham, Mass., RNK Telecom is one of the most profitable Competitive Local Exchange Carriers (CLECs) in the United States.
Source: press release
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