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VoIP Regulation in Canada

VoIP Regulation in Canada

Boyer, Marcel and Mercier, Catherine, "VoIP Regulation in Canada" (November 2005).

Abstract:

    The CRTC recently released Regulatory Framework for Voice Communication Services using Internet Protocol (Decision 2005-28), Telecom Decision CRTC 2005-28, setting out the details of the appropriate regulatory regime applicable to the provision of VoIP services. This commentary aims to comment on the CRTC decision: we present a brief overview of Decision 2005-28, we then consider the positions of incumbents and competitors, and finally we comment on the above interventions in light of the economic theory of regulation and the theory of strategic competition. We conclude that the predominant model underlying the positions not only of the CRTC but also of the parties involved, including the firms themselves, both the incumbents and the new entrants, and their respective business consultants, is rooted in an economic theory of a past forever foregone era.
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Facts on voip

  • A major development starting in 2004 has been the introduction of mass-market VoIP services over broadband Internet access services, in which subscribers make and receive calls as they would over the PSTN. Another challenge for these services is the proper handling of outgoing calls from fax machines, TiVo/ReplayTV boxes, satellite television receivers, alarm systems, conventional modems or FAXmodems, and other similar devices that depend on access to a voice-grade telephone line for some or all of their functionality.
  • Conventional telephones are connected directly to telephone company phone lines, which in the event of a power failure are kept functioning by back-up generators or batteries located at the telephone exchange. However, household VoIP hardware uses broadband modems and other equipment powered by household electricity, which may be subject to outages.
  • There are a number of services that have sprung up to facilitate this type of "free" VoIP call. Examples are Google Talk, Skype, TheGlobe and Yahoo Messenger. Incoming phone calls can be automatically routed to your VoIP phone, irrespective of where you are connected to the network.

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