Thursday, May 1, 2008

Embarq Applauds Cap on USF

EMBARQ applauded the Federal Communications Commission's decision to cap support for competitive eligible telecommunications carriers under the Universal Service Fund.

David Zesiger, Embarq's Senior Vice President for Regulatory Policy and External Affairs, stated "By limiting support for multiple carriers in rural areas, as the Federal-State Joint Board recommended, the Commission showed its commitment to the long-term health of the Universal Service Fund, a commitment vital to rural America. The Universal Service Fund supports carriers in rural areas where it is costly to serve and often uneconomic to invest. The Commission's order caps support for multiple carriers in the same area -- places where the market cannot justify even a single carrier without USF support. By halting the fund's unsustainable growth, the order provides stability that enables comprehensive reform of the universal service system. Now, the Commission can focus on necessary changes to the USF program, including the need for geographically-targeted support. We encourage the Commission to continue yesterday's positive first step by adopting geographic targeting as the foundation for comprehensive USF reform for the benefit of rural America and all consumers."

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