What’s Next for Intercarrier Compensation?

FCC Chairman Kevin Martin’s attempts to reform intercarrier compensation are all but dead, and the telecom industry wants to know what’s next for the regime that so desperately needs an overhaul.

It’s hard to get specific about pending changes without knowing who President-elect Barack Obama will appoint to replace Martin; but since the person in question will be a Democrat, it’s safe to say any reform proposals won’t be nearly as Bell-friendly as Martin’s.

There’s also a question of how VoIP traffic will be treated. Right now, IP isn’t subject to intercarrier compensation payments. Companies such as Embarq want to change that, while others, such as FeatureGroup IP, want to maintain the status quo.

Telecom analysts are sharing their predictions with various media and, if they’re right, it looks like rural LECs and CLECs will be happier than they’ve been under Martin.