Verizon and CenturyLink would welcome the incoming Congress clarifying the FCC's net neutrality order through legislation, vice presidents for the companies said Tuesday during an NTCA meeting in Washington. But some on a panel worried about broader dysfunction in government that would prevent any easy legislative action on what they judged an increasingly politicized topic. Legislation was much discussed at the event (see 1612130053), among other issues like Lifeline by Commissioner Mignon Clyburn (see 1612130059).

The U.S. Court of Appeals for the D.C. Circuit surprised many on both sides of the fight over net neutrality rules and broadband reclassification when it upheld the FCC across the board. After Dec. 4, 2015, oral argument on industry challenges to the 2015 rules (see Part III of this Special Report, 1610130014), the D.C. Circuit issued its decision June 14. That ruling was the subject of two Communications Daily Bulletins that day (see 1606140010 and 1606140012) and many more later stories. This final Part IV of the net neutrality Special Report focuses on the court ruling and continuing challenges.

FCC staff approved Verizon's purchase of XO Communications without conditions in an order released Wednesday in docket 16-70. Staff found deal-related competitive harms were minor and some public-interest benefits were likely through 5G and wireless network densification. Incompas recently asked the commission to impose various wholesale conditions (see 1611140045).

FCC staff approved Verizon's purchase of XO Communications without conditions in an order released Wednesday in docket 16-70. Staff found deal-related competitive harms were minor and some public-interest benefits were likely through 5G and wireless network densification. Incompas recently asked the commission to impose various wholesale conditions (see 1611140045).

The FCC decision to pull all major items from Thursday's commissioners' meeting was a response to mounting pressure from congressional Republicans -- backed by GOP commissioners -- citing the transition from President Barack Obama to President-elect Donald Trump. "In light of the congressional letters we received, we have revised the meeting agenda," said an FCC spokesman Wednesday. "The meeting is still on, with the only item on the agenda being the consent agenda item." Chairman Tom Wheeler made the decision, said an FCC official. Some at the agency said party-line split votes on the items had been likely.

The FCC decision to pull all major items from Thursday's commissioners' meeting was a response to mounting pressure from congressional Republicans -- backed by GOP commissioners -- citing the transition from President Barack Obama to President-elect Donald Trump. "In light of the congressional letters we received, we have revised the meeting agenda," said an FCC spokesman Wednesday. "The meeting is still on, with the only item on the agenda being the consent agenda item." Chairman Tom Wheeler made the decision, said an FCC official. Some at the agency said party-line split votes on the items had been likely.

LA QUINTA, California -- The Vermont Public Service Board will soon rule on state authority over VoIP services, PSB member Sarah Hofmann said on a panel at the NARUC annual conference. The ruling would come more than three years after a state court ordered the regulator to decide the classification of fixed VoIP as either a telecom or information service. While the telecom industry has argued that states may not regulate IP services, telecom consultant Earl Comstock -- formerly CEO of CompTel (now Incompas) -- said states wanting to regulate them need only assert themselves with fact-based determinations.

LA QUINTA, California -- The Vermont Public Service Board will soon rule on state authority over VoIP services, PSB member Sarah Hofmann said on a panel at the NARUC annual conference. The ruling would come more than three years after a state court ordered the regulator to decide the classification of fixed VoIP as either a telecom or information service. While the telecom industry has argued that states may not regulate IP services, telecom consultant Earl Comstock -- formerly CEO of CompTel (now Incompas) -- said states wanting to regulate them need only assert themselves with fact-based determinations.

Incompas said the FCC should impose wholesale conditions on Verizon buying XO to mitigate harms the group alleges would result from the proposed transaction. "The Commission should require that the combined company extend for up to seven years the terms of wholesale contracts pursuant to which XO is a seller and the terms for individual circuits that wholesale customers purchase from XO," said an Incompas filing posted Monday in docket 16-70. "The Commission should also prohibit Verizon from increasing for seven years the wholesale rates that XO currently charges customers for services provided pursuant to existing XO contracts or individual circuit arrangements, which generally are substantially lower than the wholesale rates that Verizon charges." The agency should also "prevent Verizon from using its increased market power to stifle competition in the provision of business services at bandwidths below 50 Mbps by imposing penalties on competitors that engage in pro-consumer technology transitions," Incompas said. "Verizon continues to assess shortfall liability for TDM services, even when a wholesale customer is replacing those services with purchases of Ethernet services that more than cover the shortfall, and even when the TDM tariff option includes circuit portability such that the wholesale purchaser’s spend is not tied to a specific end-user location." The group proposed Verizon/XO conditions to guarantee wholesale access to "unbundled DS1 and DS3 capacity loops" at discounted rates regardless of IP transition plans, ensure "special construction" charges are subject to the proposed conditions, and prohibit the combined company from changing "Ethernet over Copper" service terms and conditions and altering their geographic coverage for seven years, except in some specified cases. Verizon emailed in response: “The record contains a great deal of uncontested information documenting the benefits of this transaction -- including to our deployment of 5G. We don’t believe the requested conditions are warranted and we look forward to continuing to work with staff to conclude the proceeding.” Monday was Day 168 of the FCC's nonbinding 180-day review clock for the transaction.

Incompas said the FCC should impose wholesale conditions on Verizon buying XO to mitigate harms the group alleges would result from the proposed transaction. "The Commission should require that the combined company extend for up to seven years the terms of wholesale contracts pursuant to which XO is a seller and the terms for individual circuits that wholesale customers purchase from XO," said an Incompas filing posted Monday in docket 16-70. "The Commission should also prohibit Verizon from increasing for seven years the wholesale rates that XO currently charges customers for services provided pursuant to existing XO contracts or individual circuit arrangements, which generally are substantially lower than the wholesale rates that Verizon charges." The agency should also "prevent Verizon from using its increased market power to stifle competition in the provision of business services at bandwidths below 50 Mbps by imposing penalties on competitors that engage in pro-consumer technology transitions," Incompas said. "Verizon continues to assess shortfall liability for TDM services, even when a wholesale customer is replacing those services with purchases of Ethernet services that more than cover the shortfall, and even when the TDM tariff option includes circuit portability such that the wholesale purchaser’s spend is not tied to a specific end-user location." The group proposed Verizon/XO conditions to guarantee wholesale access to "unbundled DS1 and DS3 capacity loops" at discounted rates regardless of IP transition plans, ensure "special construction" charges are subject to the proposed conditions, and prohibit the combined company from changing "Ethernet over Copper" service terms and conditions and altering their geographic coverage for seven years, except in some specified cases. Verizon emailed in response: “The record contains a great deal of uncontested information documenting the benefits of this transaction -- including to our deployment of 5G. We don’t believe the requested conditions are warranted and we look forward to continuing to work with staff to conclude the proceeding.” Monday was Day 168 of the FCC's nonbinding 180-day review clock for the transaction.