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U.S. Mission to the European Union

MR-79 / How the EU is Regulating Voice over Internet Protocol (VoIP)

Summary
EU telecom regulators are grappling with the challenge of how to regulate Voice over Internet Protocol (VoIP) services. VoIP straddles the fault line between the traditionally regulated telephony market and the relatively unregulated data services market. This report describes how the EU’s “New Regulatory Framework for Electronic Communications” (NRF) applies to VoIP, considers some of the key regulatory issues raised by VoIP, and sets out the current positions of the two groups responsible for encouraging a consistent approach to VoIP regulation across the EU’s twenty-five Member States (EU-25): the European Commission and the European Regulators Group. U.S. companies targeting the EU market for VoIP hardware, software and services should watch these regulatory developments closely, particularly as VoIP represents the first major wave of new IP-based services since the NRF was established. Precedents will be set.