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Will the FCC Allow VoIP Providers Direct Access to Phone Numbers?
Virtual Office Featured Article
March 25, 2013
Will the FCC Allow VoIP Providers Direct Access to Phone Numbers?

By Susan J. Campbell, TMCnet Contributing Editor


The hype that tends to surround the latest innovations in communications can sometimes forget the boring details on the backside, such as the access VoIP providers need to effectively compete in the market. VoIP providers are vying to compete with legacy phone companies to serve both residential and commercial customers.


Legacy providers, however, have dominated the industry for so long that they control certain elements. The national telephone numbers pool, for instance, is not directly available to VoIP providers as they must obtain numbers through legacy providers. According to a recent blog by virtual office provider, Phone (News - Alert).com, the FCC may be changing this rule in the game.

This information was obtained in the form of a leak through the website, Politico. And, while it may be vital information for VoIP providers seeking to achieve a certain level of competitive advantage in the marketplace, what does it really mean for the consumer? If they are a VoIP user, the change could mean a much simpler approach to communications.

On its website, Politico referenced its FCC (News - Alert) source and said the following was received in an e-mail: “Allowing VoIP providers to obtain telephone numbers directly, and not through intermediate providers, as is generally the case today, has the potential to fuel innovation and promote competition, at the same time we ensure calls are routed reliably and efficiently, protect public safety, and guard against exhaust of limited numbers.”

To elaborate, VoIP technology relies on a virtual phone number, a number that appears to not be physically tied to a locality or switchboard. A virtual office in California could have a New York phone number. In reality, however, the number is actually tied to a physical location. The difference is that location is still owned by the legacy phone company. If that middleman is removed, the complexity of the VoIP communication is reduced and the resulting service is improved.

The biggest change seen on the consumer side is in the irrelevance of the area code. These codes traditionally provided that physical location tie. If virtual office numbers become the norm and long distance charges are meaningless, there is no need for area codes. Legacy providers are sure to fight this change, however, as they are still able to exact a toll or even an add-on fee for providing “unlimited long distance.”

Whether or not the FCC acts, this is an issue of commercial competition and legacy providers are expected to fight the change. After all, VoIP providers have already crowded into their revenue streams and depleted their profit opportunities, forcing changes in the marketplace. This critical change would create a whole new game altogether, something carriers can’t afford to allow. 




Edited by Amanda Ciccatelli


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