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| Association
of Communications Enterprises |
1401 K
Street, N.W. Suite 600 Washington, D.C. 20005 |
Phone:(202)
835-9898 Fax:(202) 835-9893 | |
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Contact: Celeste Powers Director of Public Affairs (202) 835-9898, ext.3015 cpowers@ascent.org | ||
| TRA Makes Case For Advanced Services
Resale Wholesale Access to High-Speed Services Would Benefit Small Carriers and ISPs |
| (Washington, D.C., April 27, 1999) - In a "white paper" filed today with the Federal Communications Commission, the Telecommunications Resellers Association made the most compelling case yet that incumbent local phone companies have the legal obligation to offer advanced telecommunications services at wholesale rates. The report asserts that competitive carriers, small Internet Service Providers (ISPs) and consumers would benefit if these key services were made available at wholesale prices. Advanced services refer to high-speed, high-capacity services that can be deployed over today's telephone wires. Customers who subscribe to an advanced service can simultaneously make voice calls and high-speed Internet connections over the same telephone line. With their enormous potential, experts predict high-speed services soon will replace regular phone service in a large number of American homes and businesses. Hence, telecommunications carriers and ISPs that offer high-speed connections will have a huge competitive advantage over those that do not. For most companies, however, the investment required to offer high-speed services using their own facilities is too steep. "In order to compete in tomorrow's marketplace, telecommunications carriers must be able to offer customers high-speed voice and data services," said Ernie Kelly, president of TRA. "But most competitive carriers cannot afford, at least not at first, to provide such services over their own facilities. The most feasible way to offer advanced services is through resale. And that means being able to purchase these services from incumbent phone companies at wholesale rates." "At the same time, small ISPs will have a difficult time negotiating the same favorable rates for high-speed services as their giant rivals, such as America Online. If competitive carriers and small ISPs can partner high-speed services with Internet access, it will help level the playing field. These partnerships only will work, however, if competitive carriers can buy advanced services at wholesale rates." "The good news," Kelly continued, "is the TRA report confirms that the 1996 Telecom Act obligates incumbent LECs to make these services available to competitors at wholesale prices. The Commission simply needs to give the order to these carriers to start complying with the law. And they need to do it soon. Each day that goes by that competitive carriers are denied wholesale access to these critical services means that incumbent phone companies and large ISPs gain an even greater headstart in the marketplace. We hope this report will prompt the Commission to finally take action." |
 Association of Communications Enterprises (ASCENT) - http://www.ascent.org/ - is the leading trade organization of entrepreneurial communications firms and their suppliers. ASCENT member companies provide a full range of communications services utilizing narrowband, broadband and wireless technologies. They share a common desire for new business opportunities, technological innovation, managerial excellence, and adherence to high ethical standards. ASCENT's mission is to open all communications markets to full and fair competition and to help member companies design and implement successful business plans. Formerly the Telecommunications Resellers Association (TRA), ASCENT was founded in 1992 and is headquartered in Washington, D.C. |