Even as the FCC conducts its very public debate over whether to regulate IP phone services, two lesser-known issues have emerged that could have a big effect on availability of VoIP offerings from the RBOCs. The first issue involves regulators in a handful of Southern states that are forcing BellSouth to make DSL broadband Internet access available to competitors' voice customers. This undercuts an RBOC strategy to retain primary-access-line revenue by making VoIP available exclusively to customers that buy its voice/DSL bundle. The second issue has to do with whether regulators will force the Bells to provide VoIP links into customer premises to competitors at or below wholesale rates if those links are connected to Class 5 switches or other regulated equipment deeper in the carrier network. Such a policy, which already exists for TDM-based copper loops, could discourage the Bells from rolling out VoIP because of an unfavorable return on investment.
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