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ROUND TABLE: … Supreme Court Decision Upholding FCC’s Network Element Pricing Rules

Posted: 07/2002

… Supreme Court Decision
Upholding FCC’s Network Element Pricing Rules

"Most significantly, the
Supreme Court decision considers and rejects the Bell companies’ arguments that
the TELRIC standard does not allow them to earn a fair return on their
investment. This decision will be enormously useful on Capitol Hill, in other
court proceedings and in many FCC and state proceedings."

–John Windhausen Jr.,
president, Association for Local Telecommunication Services (ALTS)

"Today’s ruling on TELRIC
pricing is unfortunate. The decision upholds the unjust status quo that requires
local telephone companies to give competitors access to their networks at prices
below cost. These extreme requirements sharply discourage both incumbents and
competitors from making new investments in infrastructure."

–Walter B. McCormick Jr.,
president and CEO, United States Telecom Association (USTA)

"I’m pleased the Supreme Court
has affirmed the commission’s implementation of the 1996 Telecom Act. This
decision brings much-needed additional certainty to the legal landscape and
should advance the Commission’s efforts to carry out the statute’s competition
goals."

— Michael Powell, chairman,
Federal Communications Commission (FCC)


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