Why RBOCs Believe They Need Regulatory Relief to Offer High

A detailed Summary of Why RBOCs Believe They Need Regulatory Relief to Offer High

The RBOCs have been screaming for relief of what they believed to be harsh restrictions performed by the FCC ever since the AT&T divestiture took place. For once, the divestiture has taken away RBOCs ability to offer inter-LATA long distance services. The Telecommunications Act of 1996 (TA96) has taken it a step further, by mandating that a Competitive Checklist of 14 items have to be performed before the RBOCs are allowed to enter inter-LATA long distance competition. Included in the list are the unbundling of the ILECs local loop and resale of ILECs service offerings by CLECs at wholesale discounts.

The Tauzin-Dingell Bill essentially tries to put an end to such restrictions particularly on inter-LATA data offerings. The Bill, which was backed up by the baby Bells, argues that section 706 of the TA96 calls for deployment of advanced telecom services and the current FCC rules are definitely slowing it down. FCC prescribed requirements on unbundling network elements inc

Previously in a Line Sharing Order of November 1999, the FCC adopted rules that the ILECs must share lines with the CLECs for use of voice and data (DSL). The Bill also tries to do away with that requirement, which will be a great disadvantage for the competitors if it is enacted. Currently, both CLECs and ILECs offer DSL services. There is much doubt that the ILECs will want to share their lines after it is upgraded for higher bandwidth. If they do, it will be at a high cost.

In response to the ILECs petition, the CLECs propose that data services are kept as subsidiary to the RBOC and that RBOCs' wholesale is divested from their retail to insure fair treatment.

lude line sharing and collocation of CLEC's equipments in the ILECs central offices, which the ILEC say is deterring them from deploying high-speed Internet access nationwide. [ISP News, 2001]

Why CLECs Strongly Oppose Such Relief

The CLECs, however, feel that the recently passing of the Bill by the Hous

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Approximate Word count = 658
Approximate Pages = 3 (250 words per page double spaced)

Category: Technology

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