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Cloud Voice Alliance Urges FCC to Halt CPUC's Regulatory Overreach, Protect Small Business VoIP Providers from Unnecessary Costs and Uncertainty


News provided by

Cloud Voice Alliance

Feb 24, 2025, 08:55 ET

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Representatives from the Cloud Voice Alliance (CVA) met with the office of FCC Chairman Brendan Carr to reinforce the urgency of docketing the CCA-CVA Petition for Declaratory Ruling and initiating a public proceeding.

LANGHORNE, Pa., Feb. 24, 2025 /PRNewswire-PRWeb/ -- Representatives from the Cloud Voice Alliance (CVA) met with the office of FCC Chairman Brendan Carr to reinforce the urgency of docketing the CCA-CVA Petition for Declaratory Ruling and initiating a public proceeding. The petition seeks to reaffirm the Vonage Preemption Order (2004) and prevent the California Public Utilities Commission CPUC from imposing unnecessary and burdensome regulations on VoIP providers—without any evidence of consumer harm, particularly in the business services market.

"The CPUC's actions create higher barriers to market entry, introduce regulatory uncertainty, and impose significant new costs that small VoIP providers simply cannot absorb," said Bill (PhoneBill) McClain, President of CVA. "This is not about consumer protection—there is no evidence of harm. This is about a state agency imposing unnecessary hurdles that benefit entrenched incumbents at the expense of smaller, innovative providers who serve cost-sensitive businesses and consumers."

CVA emphasized that the CPUC's new regulatory framework creates risks and compliance burdens that will discourage competition and drive smaller VoIP providers out of the market. Many CVA members are small businesses serving other small businesses, and their ability to offer affordable, innovative, and flexible communication solutions depends on regulatory stability and a predictable, light-touch framework.

"When states like California impose unjustified regulations on VoIP—without a shred of evidence of consumer harm—it ultimately hurts the very consumers and businesses they claim to protect," McClain added. "Higher compliance costs mean higher prices, reduced competition, and fewer choices for small businesses that rely on cost-effective communication solutions to remain competitive. Small businesses are the backbone of the American economy, and regulatory overreach like this threatens their ability to thrive."

CVA is calling on the FCC to:

Docket the CCA-CVA Petition without delay.

Open a public comment period to solicit industry feedback.

Issue a declaratory ruling reaffirming that states cannot impose the practical equivalent of a full-blown CPCN licensing, M&A approval requirements, and other excessive regulatory hurdles, costs, and burdens on VoIP providers in defiance of federal preemption.

The CVA remains committed to ensuring that independent VoIP providers are not crushed under the weight of excessive and unjustified state regulations.

For media inquiries and/or anyone interested in supporting the fight to protect the light-touch regulatory framework that has fostered the growth and innovation of the VoIP industry for over two decades, please contact:

Bill McClain

President, Cloud Voice Alliance

[email protected]

804-500-1000

Media Contact

Jeff Dworkin, Cloud Voice Alliance, 1 2673564800, [email protected], www.cloudvoicealliance.com

SOURCE Cloud Voice Alliance

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