Seeking Alpha

Sam Gustin


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I'm scratching my head at Comcast's announcement yesterday that it has reached a "collaborative agreement" with voice-over-IP provider Vonage (VG).

The companies said in a statement that the agreement is designed "to ensure that network management techniques are chosen that effectively balance the need to avoid network congestion with the need to ensure that over-the-top VoIP services like Vonage work well for consumers."

What's puzzling about the announcement is that Comcast (CMCSA), which offers a rival voice-over-IP offering, has long maintained that it doesn't block or degrade voice-over-IP traffic, despite being accused of doing so.

As the company itself notes, "This is the latest in a series of announcements related to Comcast's network management practices that demonstrate the company's commitment to ensure that its customers' ability to use any application or access any content they choose while avoiding network congestion situations that could affect the consumer experience."

Marvin Ammori, general counsel of Free Press, which filed the original complaint against Comcast, wasn't buying what the company was selling yesterday.

"We are baffled as to why it was necessary for Vonage to strike a network management agreement with Comcast to guarantee that their services are not degraded or blocked," Ammori said in a statement. "Such anti-competitive, anti-consumer practices are already against the law. And beyond that, Comcast has been on the record as saying that they do nothing to deter their customers' use of VoIP."

If that's the case, why the need for yesterday's announcement?

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This article has 2 comments:

  •  
    I have comcast internet and HAD broadvoice for VoIP. Every couple of days my comcast modem would stop working, I would have to disconnect the cable and reconnect, then it would work for a couple of days and repeat over and over. Broadvoice service was awsome when comcast was up. I disconnected my VoIP router 2 months ago, and my cable modem hasn't gone down since. Sounds like Comcast is blocking my VoIP in Northern Virginia.
    2008 Jul 15 11:38 AM | Link | Reply
  •  
    I had Teleblend VOIP work perfectly with Cox cable until I had to move. When I set up my broadband Internet with Comcast in Virginia, everything worked perfectly but for my VOIP telephone adapter. I had the exact same configuration as I had previously with Cox, but VOIP no longer worked. Teleblend tech support could not help. Apparently Teleblend doesn't have a "network management agreement" in place yet with Comcast in order to avoid a practice that Comcast says it doesn't follow.

    Anyone who doesn't believe that Comcast is lying about its VOIP practice probably also whole-heartedly believed Comcast's initial denials on throttling P2P usage. Lying is part of Comcast's corporate policy.
    2008 Jul 17 01:23 PM | Link | Reply