Speakeasy Joins Google Voice in Refusing High-Cost Terminations

It is unclear whether a common carrier or Internet service provider lawfully can refuse to terminate calls to some area codes, though the issue now will have to be resolved. Google, for example, refuses to terminate calls to some high-cost areas in Iowa and elsewhere commonly used by free conferencing services.

Tier-one service providers also have tried to refuse terminations to these area codes and have been forbidden to do so by the Federal Communications Commission.

Speakeasy now apparently also does not want to terminate calls to some high-cost area codes, at least as part of its standard service.

"Speakeasy will disallow voice traffic to a few selected area and prefix codes (“NPA-NXX”) in North America," says Michael Czerwinski, Speakeasy VP. "In addition, we are clarifying our non-standard use clause and will be extending additional options to these specific customers affected."

Operators of services such as adult lines and “free conferencing” are using these local area codes and are causing additional fees, he notes. "Instead of passing on these fees to you, we have chosen to maintain the most competitive rates possible by implementing this policy," he says.

Regulatory arbitrage is a fact of life in the communications business. Sometimes it is a mnor irritant; sometimes it rises to a more-painful level. One suspects high termination rates in a few jurisdictions now are rising to a level when some action is to be expected.