I’m choking on NoChokePoints position

Posted March 16th, 2011 in access charges and tagged , by Alton Drew

Based on the wireless industry’s own arguments about the constraints on its networks due to the expected increase in data usage and transmission, I don’t see the logic of lowering the price they pay for sending traffic from cell tower to cell tower via broadband lines. The more people knocking at the door, the greater the congestion on everyone’s networks, including broadband access providers.

If anything, we want special access rates marked to market. The rate should reflect supply and demand for cell phone traffic transmission. The price should cover the costs of transmitting traffic.

The wireless market is competitive; therefore, if a consumer cannot bear the price passed on to her as a result of increasing special access charges, she will go to a provider that is efficiently managing its network so that they can accommodate her with only the most minimal increase in price.

Markets need certainty on inter-carrier compensation

The inter-carrier compensation issue has been dormant for too long. Nothing significant has been proffered since former FCC chairman Kevin Martin’s “glide path” concept for equating local and interstate access charges over two years ago. A little more certainty in the markets would result if the FCC moved ahead more vigorously.