05.13.2002|Corporate

Verizon Reacts to Supreme Court Decision on TELRIC Rates

Full Transparency

More of our content is being permanently logged via blockchain technology starting [10.23.2020].

Learn more

We're committed to building trust.

Going forward more of our content will be permanently logged via blockchain technology—enabling us to provide greater transparency with authoritative verification on all changes made to official releases.

Learn more

BACKGROUND - Today the U.S. Supreme Court upheld the Federal Communications Commission's (FCC) pricing scheme for total element long-run incremental costs (TELRIC). TELRIC determines prices that incumbent telephone companies like Verizon must charge for pieces of their networks they lease to competitors. The court said that the current methodology based on forward-looking costs is a permissible interpretation of the Telecommunications Act. The following response should be attributed to John P. Frantz, vice president and counselor to the general counsel for Verizon Communications.

"While this decision maintains the status quo, the FCC is currently looking at its unbundled network element policies, recognizing that a 'course correction' -- as noted by Chairman Powell -- may be necessary to encourage facilities-based competition as the Telecom Act intended. We hope that the chairman will not follow the bankrupt policies of the past but will provide leadership on this issue. While the court upheld TELRIC methodology as a legal matter, that does not mean this is the best policy for consumers or for the telecommunications industry at large."

####

Related Articles

01.11.2021 | Corporate

Showcases impact of Verizon 5G across industries with the NFL, the Metropolitan Museum of Art, the Smithsonian, UPS, Live Nation Clubs and Theaters and more

12.10.2020 | Corporate

Clover® point-of-sale platform and merchant services are available to Verizon Business customers