Uncertainty and complexity in the intercarrier compensation syste...
Uncertainty and complexity in the intercarrier compensation system have held back broadband investment, Verizon said. In an ex-parte meeting last week with the FCC broadband team, the carrier said access fees for advanced services vary widely and “may depend…
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on unresolved regulatory classifications and jurisdictional determinations that are unknown or irrelevant.” Verizon showed the team its September 2008 revamp plan for intercarrier compensation. The commission should “make clear in its National Broadband Plan that intercarrier compensation reform should ultimately result in a regime that includes a reasonable transition to a uniform default terminating rate for all carriers, provides opportunities for companies to recover a portion of lost revenues from their own end users, and ensures that a portion of other lost revenues may be recovered through a time- limited new recovery mechanism that would be part of the Universal Service Fund,” the carrier said. The FCC is considering USF spending cuts (CD Dec 10 p1). Verizon said it supports high-cost support for “truly high cost” areas that don’t “have competitive providers serving without support.”