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Incompas Slams AT&T 'Reliance Interests' in Packet-Based Special-Access Relief

Incompas disputed AT&T arguments that the FCC must overcome high hurdles before revising policies on packet-based services, such as switched ethernet, in the special-access business market (see 1509290036). “There is no basis for AT&T’s arguments” because commission policies “have not…

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engendered ‘serious reliance interests’” for ILECs “even for those services encompassed by the Commission’s grants of forbearance,” Incompas said in a letter posted Wednesday in docket 05-25. “Reversing forbearance from applying dominant carrier and other regulations to these services would not require that the Commission overcome unusually difficult administrative or legal obstacles.” The FCC’s forbearance grant doesn’t even apply to all incumbent telco packet-based special-access services, the group said. When the FCC in 2007 gave AT&T forbearance relief from various duties, it limited the deregulation to its "existing non-TDM-based, packet switched services capable of transmitting 200 kbps or greater in each direction," and "existing non-TDM-based, optical transmission services," said Incompas, which said other agency relief orders were also limited to existing services. At the time, AT&T offered "OPTical Ethernet Metropolitan Area Network" switched ethernet service in special-access tariffs, but in 2010 it introduced an upgraded service called "AT&T Switched Ethernet Service" (ASE) that was functionally different, Incompas said. The FCC forbearance relief thus didn't apply to ASE, said Incompas, which called for reviewing the regulatory treatment of other newer ILEC packet-based services. "Perhaps even more importantly, forbearance would not apply to any packet-based special access services that the incumbent LECs introduce in the future," the group said. "This fact puts the lie to any incumbent LEC claim that they are relying on the absence of regulation as a basis for making investment decisions for packet-based special access services to be introduced in the future." A "comprehensive reassessment" is in order, it said.