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<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>I have not said much recently about the FCC and how recent
events are affecting VoIP providers. The recent DSL decision did several
things that are both good and bad for VoIP providers. First, it
reinforced the FCC’s view that only the duopoly, ie cable and rboc, are
going to be successful in providing broadband to the masses. I am
skeptical of what will happen when you deregulate what still amounts to the
quasi monopolistic companies in most areas. I hope that they will not
abuse that position, although if past actions are any indication….<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>The FCC, also adopted a policy statement concerning net
neutrality. This is something that I and Nuvio have been championing for
over the last year on Capitol Hill and at the FCC. While the “policy
statement” doesn’t have any enforcement mechanism tied to it, as
the chairman was quick to point out, it does reflect the need to preserve the
Internet as it is right now, as an interconnected network that is agnostic
towards the applications run across it. This is essential if you are
giving a larger and larger footprint to the cable and telcos for broadband.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>The FCC also subjected VoIP to CALEA requirements.
There is a time frame of 18 months to comply, and there are still many
technical and logistical issues that will need to be solved, but this was
inevitable. However, I personally find it a double standard that they did
not include the likes of FWD and Skype in the CALEA order. Certainly if
they are sincere about homeland security they would include those services
along with IM. Otherwise, those that wish to circumvent our laws would
merely use applications they know are not monitored.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>On the issue of 911, I have been spending a fair amount of
time in DC dealing with various levels of the FCC from the commissioners’
offices to the various bureaus including the enforcement bureau. They are
absolutely serious about enforcing the 911 requirements on providers and are looking
to take public action against those that do not comply. If you have any
type of nomadic service, the compliance requirements are enormous and it is
going to be very expensive. We are dealing with multiple VSPs, our CLECs,
and others to try and craft a solution that will be satisfactory to the
FCC. Constant contact and conversations are absolutely a must. Even
this may not guarantee that you will not be subject to enforcement. We
have already invested significant money into this mandate and we think that it
will continue to require more. The only advice that I can give is that
you should not believe anything is FCC approved or authorized unless you have
spoken with them to find out what they require of you. Our legal counsel
has computed the potential fines at $11,000 per day per customer.(being
assessed each day of non-compliance) That is pretty significant. If
anyone needs any direction or advice, please reply off-list and I will be happy
to try and help.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>-jason<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><st1:PersonName w:st="on"><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Jason P. Talley</span></font></st1:PersonName><o:p></o:p></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Chief Executive Officer</span></font><o:p></o:p></p>
<p class=MsoNormal><font size=2 color=red face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:red'>NUVIO CORPORATION<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Phone: 816-444-4422 ext. 5711</span></font><o:p></o:p></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Fax: 913-498-1810</span></font><o:p></o:p></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><a href="http://www.nuvio.com">http://www.nuvio.com</a></span></font><o:p></o:p></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><a href="mailto:jason@nuvio.com">jason@nuvio.com</a></span></font><o:p></o:p></p>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'> </span><o:p></o:p></font></p>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
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