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Telcos Lift Block On FreeConference.Com

FCC Meets with the Disputants Next Week

By Martin H. Bosworth
ConsumerAffairs.com

April 13, 2005

Net Neutrality • Internet Providers Ponder Bandwidth Limits For Heavy Users • Comcast, Cox Caught Blocking BitTorrent • Will Antitrust Law Save Net Neutrality? • Few Are Neutral in Net Neutrality Battles • Net Neutrality Supporters Testify • Comcast Blocks Public From FCC Hearing • Congress Gets Net Neutrality Legislation • Time Warner To Test Metered Pricing For Broadband • House Committee To Probe FCC • FCC To Investigate Comcast For Blocking Net Traffic • Verizon Wireless Opens Network to All Devices, Software • Comcast Sued Over Internet Blocking • Verizon Overrides Internet Searches With Its Own Results • Comcast Blocks Subscribers From Some Services • Verizon's Abortion Block Raises Net Neutrality Concerns • FTC Nixes Net Neutrality • Wireless Spectrum May Hold Key To Net Neutrality • Telcos Lift Block On FreeConference.Com • FCC Takes Another Look at Net Neutrality • AT&T Blocks Calls To Competing Conference Call Service • Study: Ending Net Neutrality Would Hurt Consumers • FCC, FTC Challenged To Protect Net Neutrality • Net Neutrality Back on Congress' Agenda • Net Neutrality Opponents Step Up PR Blitz • AT&T Trumpets New TV Service • Verizon Joins BellSouth in Retreat From Unexplained New DSL Fee • FCC Nudges BellSouth Into Giving Up New DSL Fees • FTC Head Urges "Caution" On Net Neutrality • Net Neutrality May Derail Telecom Bill • Google: No Net Neutrality Means Antitrust Fight • Senate Prepares for Net Neutrality Showdown • Congress Moves Quickly To Satisfy Telecoms' Net Neutrality, Cable Entry Demands • Net Neutrality Gets Its Day In Congress • Net Neutrality Wins Committee Vote In Congress • Net Neutrality Attracts Surprising Allies • Congress Wrestles with Net Neutrality

Major telecom companies that were blocking access to the FreeConference.Com calling service have agreed to lift the restrictions, at least for now, pending a meeting between the companies supporting FreeConference.Com and the Federal Communications Commission (FCC) next week.

The FCC said it received more than 1,000 complaints on the issue, and asked that all call blocking to the service cease until the commission met with both sides to discuss the issue.

Sprint Nextel agreed to stop blocking calls to FreeConference.Com on April 12th, joining AT&T/Cingular and Qwest, according to FreeConference.Com. Company CEO Alex Cory credited the "voice of the consumer" for drawing attention to the blockage and getting it lifted.

"Blocking access to these services is illegal and unconscionable," Cory said in the statement. "Users understand that these services are legal, reliable and efficient and ultimately are there to give them better choices and add value to their long distance services."

FreeConference.Com and services like it work by making a single long-distance call to a rural telecom carrier, and then setting up a conference call that enables up to 95 other listeners to participate. The service is popular with nonprofits, startups, and small businesses, but telecoms were claiming it was a violation of their policies and a scheme to push more money to the rural carriers through termination fees.

Rural telcos like Great Lakes Communication Corporation fought back with a major PR push, claiming that blockage to their services would impede the efforts of nonprofits such as the California Hunger Action Coalition.

GLCC set up conference calls for Amish and Mennonite communities after the shooting deaths of five young Amish women in October 2006. GLCC president Josh Nelson said he had no problem acting as the "little guy" in the David vs. Goliath war between his company and the major telecoms.

"As a small Iowa-based telephone company, we know how important it is to stand up for the 'little guy', or, in this case, the non-profit organizations, universities, religious groups and small businesses that lack the monetary resources and rely upon our free conferencing partners for their communications existence," Nelson said.

AT&T fought back with claims that the rural telecom companies are getting "kickbacks" from the scheme and that they subsidize phone-sex chat lines through their multi-calling services.

AT&T spokesman Michael Balmoris, commenting on the GigaOm blog, said that "[FreeConference.Com]'s legal claims are baseless, and their attempt to portray their fraudulent service as 'free' is a sham. There is no such thing as a free lunch, and consumers and business customers are the ones who will be left holding the bag if these types of scams are allowed to continue."

Nelson and other rural telecom execs are scheduled to meet with FCC Chairman Kevin Martin on April 18th and 19th, and the rest of the commission afterward.

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