On November 9, 2004, the U.S. Federal Communications Commission ("FCC") decided that Voice-over Internet Protocol ("VoIP") services are subject to the exclusive jurisdiction of the U.S. federal government. The ruling was in response to a petition by Vonage, a New Jersey based VoIP provider, requesting that the FCC pre-empt attempts by the state of Minnesota to classify VoIP as an intrastate service and subject it to traditional public utility regulation and tariffs. In the ruling, the FCC stated that VoIP services are interstate in nature and therefore out of the regulatory reach of individual state telecommunication regulatory bodies. However, the FCC declined to address other contentious issues, such as the states' ability to apply tariffs to VoIP services.
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For an article discussing this decision, visit:
http://www.heydary.com/publications/voip-regulations.html