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VoIP The U.S. Federal Communications Commission (FCC) has not been able to decide how to regulate VoIP (Internet Telephony) because the convergent technology is still growing and changing. In addition to its growth, FCC is tentative to set regulation on VoIP in order to promote competition in the telecommunication industry.[41] There is not a clear line between telecommunication service and the information service because of the growth of the new convergent media. Historically, telecommunication is subject to state regulation. The state of California concerned about the increasing popularity of internet telephony will eventually obliterate funding for Universal Service Programs[42] The Telecom Act of 1996 does not fit to continue to regulate VoIP. Some States attempt to assert their traditional role of common carrier oversight onto this new technology.[43] Meisel and Needles (2005) suggests that the FCC, federal courts, and state regulatory bodies on access line charges will directly impact the speed in which Internet telephony market grows.[44] On one hand, the FCC is hesitant to regulate convergent technology because VoIP with different feature from the old Telecommunication; no fixed model to build legislature yet. On the other hand, the regulations is needed because Service over the internet might be quickly replaced telecommunication service, which will affect the entire economy. Convergence has also raised several debates about classification of certain telecommunications services. As the lines between data transmission, and voice and media transmission are eroded, regulators are faced with the task of how best to classify the converging segments of the telecommunication sector. Traditionally, telecommunication regulation has focused on the operation of physical infrastructure, networks, and access to network. No content is regulated in the telecommunication because the content is considered private. In contrast, film and Television are regulated by contents. The rating system regulates its distribution to the audience. Self-regulation is promoted by the industry. Bogle senior persuaded the entire industry to pay 0.1 percent levy on all advertising and the money was used to give authority to the Advertising Standards Authority, which keeps the government away from setting legislature in the media industry.[45] The premises to regulate the new media, two-ways communications, concerns much about the change from old media to new media. Each medium has different features and characteristics. First, internet, the new medium, manipulates all form of information - voice, data and video. Second, the old regulation on the old media, such as radio and Television, emphasized its regulation on the scarcity of the channels. Internet, on the other hand, has the limitless capacity, due to the end-to-end design. Third, Two-ways communication encourages interactivity between the content producers and the audiences. "...Fundamental basis for classification, therefore, is to consider the need for regulation in terms of either market failure or in the public interests"(Blackman).[46] The Electronic Frontier Foundation (EFF), founded in 1990, is a non profit organization to defend free speech, privacy, innovation and consumer rights.[47] DMCA, Digital Millennium Copyright Act regulates and protect the digital content producers and consumers.[citation needed] Future Network Neutrality Wu and Lessig (2004) explain two reasons to adapt neutral network. First, "a neutral network eliminates the risk of future discrimination, providing more incentive to invest in broadband application development." Second, "neutral network facilitates fair competition among application, no bias between applications."[48] The two reasons also coincide with FCC's interest to stimulate investment and enhance innovation in broadband technology and services.[49][50] Despite regulatory efforts of deregulation, privatization, and liberalization, the infrastructure barrier has been a negative factor in achieving effective competition. "Kim et al. argues that IP dissociates the telephony application from the infrastructure and Internet telephony is at the forefront of such dissociation ." [51] The neutrality of the network is very important for fair competition.[52] As the former FCC Charman Michael Powell puts it: "From its inception, the Internet was designed, as those present during the course of its creating will tell you, to prevent government or a corporation or anyone else from controlling it. It was designed to defeat discrimination against users, ideas and technologies" [53] Because of these reasons, Shin concludes that regulator should make sure to regulate application and infrastructure separately. Layered Model The layer Model is first proposed by Solum and Chug, Sicker, and Nakahata. Sicker, Warbach and Witt have supported using layered Model to regulate the telecommunications industry with the emergence of convergence services. Many researchers have different layered approach, but they all agree that the emergence of convergent technology will create challenges and ambiguities for regulations.[4] The key point of the layered model is that it reflects the reality of network architecture, and current business model.[54] The layered Model consists of 1. Access Layer - where the physical infrastructure resides: copper wires, cable, or fiber optic. 2. transport layer - the provider of service. 3. Application layer - the interface between the data and the users. 4. content layer - the layer which users see.[54] In Convergence Technologies and the Layered Policy Model: Implication for Regulating Future Communications, Shin combines the Layered Model and Network Neutrality as the principle to regulate the future convergent Media Industry.[55] |
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