Roxas was referring to the NTC draft memorandum classifying voice-over Internet protocol (VoIP) as a value-added service, thus allowing independent Internet service providers (ISPs), not just telephone companies, to commercially offer the new technology.
"The NTC draft memorandum is most welcome. It will force the resolution of the regulatory uncertainty that has hampered the commercialization of, and public access to, VoIP as an inexpensive alternative to conventional telephone calls," Roxas said.
"Telephone companies can challenge the validity of the NTC order later on, but at least the NTC has taken a position. We hope this move will eventually lead to a more definitive interpretation of the law," Roxas added.
Last month, Roxas filed Senate Resolution 197, seeking a Senate inquiry on "the regulatory uncertainty that continues to impede the full commercialization and development of VoIP as a low-priced alternative to calls via traditional telephone services."
"In view of VoIP’s tremendous promise to provide more affordable voice calls, particularly for small enterprises and our workers overseas, it has become imperative for us to promptly review and resolve all policies hindering public access to the new system," Roxas said.
VoIP allows individuals to exchange long-distance calls via computers connected to the Internet, without payment of long distance charges to telephone companies. At present, long-distance calls are made possible through the conventional circuit switches of telephone firms.
The Public Telecommunications Act of 1995 does not clearly stipulate whether VoIP should be exclusively offered by telephone companies.
The National Economic and Development Authority has sought the full deregulation of VoIP to spur economic growth, investments and jobs. VoIP is expected to drive down international call rates from 40 US cents to just 10 US cents per minute.
Three out of four voice calls worldwide would be done via VoIP by year 2007, according to the global consulting firm Frost and Sullivan Inc.
In VoIP, spoken words are broken down into digitized bundles of information, transported over data network or packet switched connections, then reassembled upon reaching their destination.