April 8, 2014 VIA ECFS. Marlene H. Dortch, Secretary Federal Communications Commission th Street, S.W. Washington, D.C.
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1 Tamar E. Finn April 8, 2014 VIA ECFS Marlene H. Dortch, Secretary Federal Communications Commission th Street, S.W. Washington, D.C Re: WC Docket No In the Matter of Universal Service Contribution Methodology; Request for Review of the Decision of the Universal Service Administrator by Cisco WebEx Notice of Ex Parte Communication Dear Ms. Dortch: On April 7, 2014, Michael Young, President of Generic Conferencing LLC ( Generic Conferencing ) and the undersigned met with Carol Mattey and Michael Jacobs of the Wireline Competition Bureau s Front Office, and Carol Pomponio, Chin Yoo (by phone) and Claudia Fox (by phone), of the Wireline Competition Bureau s Telecommunications Access Policy Division, to discuss the Company s web-based conferencing services and to reiterate its support for Cisco WebEx, LLC s Request for Review of a USAC Decision. 1 The discussions were consistent with the attached hand-out which was provided to the meeting participants. Attachment cc: (via ) Carol Mattey Michael Jacobs Carol Pomponio Chin Yoo Claudia Fox Sincerely, /s/ electronically signed Tamar E. Finn Counsel for Generic Conferencing LLC 1 Request for Review of a Decision by the Universal Service Administrative Company by Cisco WebEx LLC, WC Docket No (filed April 8, 2013). A/
2 Company Overview Founded 2006, privately held Originally provided audio-only services Added web conferencing in 2009 Focus on education\distance learning market 12 employees Contributor to FUSF since lntercall order
3 [J e31.genericconf.com/client/bigbiuebutton.html liji!j.. g Generic Conferencing, LLC - -? ~ Users - o Presentation: default _ o Chat - Cl Status Name MedJa ~ Robert Smith (you) V'!eocams Michael Y oung Chris Wiftiams Lisa Jones Robert Smith ' X CJ [!] 0 l_gj w.u..... t (2] To (lll61tlrtl!d quld!jg, c!jckcm b~belaw to tl...rdj a rutorlal ddt!o. -~ '!'I Hw: {Bl 'ru tt"".af;;r n>u:~~o - V'OU«dllfthO lldomjdgmiijiijat~~youwtf} ltio 'J_J~ l!t..u. c =~r: _j ptcmf!w.!~!awl'~ r..~... v... 1 Clka:Dm&DI'ul'lmvtl....,_,.. ~... I I 0.1 J Cl!l;k11iJ-Uol ww.m~c\n«giinl~.,.,.) I"'"""'""""'*"""... "'""""- - ~ l::j l!j ~...,"""".Cftllt.llltdllfl:lrl. ~jgqoift-g 4'ndM:tlltW 'fcui.obalm..., Au--"""""""'_"",_JIIUf""'lahld*" t~~ldb~ Crotii>.Phi'tlll'oohr>.... Ill - I I II Publlc Options Welcome to the Generic Conferendng, LLC meeting' See the bar at the top for dial-in phone numbers ;ond your personal PIN code. This s~rver Is running BigBiueButton :14 [ 1.. G (c) 2013 BigBiueButton Inc. (build ] For more information visit bttp:l/ynnj.b igbluebutton.-erg 1~~ ~oo~ 1 ~+ J ~ I Send j ( Default I "' J [bj
4 Bundle vs. Integrated Bundle= combination of stand-alone services sold together Integrated= single service, inseparable Can you have an online meeting without audio? No. This makes the online meeting an Integrated Information service. No one would buy an online meeting service that did not have an audio portion
5 Bundle vs. Integrated Can you use one portion of an integrated service without using other portions? Yes. The fact that you can use an alternative audio service does not mean an online meeting is not an integrated service Product is functionally integrated from the user's perspective
6 Generic Conferencing- Typical Customer College in Texas uses our service for online classes Fixed yearly subscription cost Most students connect via Internet, using their PC microphone\headset\webcam A telephone number ( XXXX) is available as an alternative method of connecting to the class This is a request of the college for times when student Internet is down or otherwise unavailable
7 Generic Conferencing- Typical Customer Oil and Gas business uses our service for online meetings Per minute charge- varies depending on connection method Some connect via PC Some connect via Smartphone App Some connect via number Some connect via local number ( XXXX) Some connect via International number (+44 or +61)
8 Generic Conferencing- Typical Customer Oil and Gas business uses our service for online meetings Per minute charge- varies depending on connection method Per minute charge needed as our costs vary based on the underlying cost of the call Service is still an integrated information service The way it is billed does not change the nature of the service
9 Commission Precedent "[t]he information service classification applies regardless of whether the subscribers use all of the functions and capabilities provided as part of the service {e.g., or web-hosting), and whether every wireline broadband Internet service provider offers each function and capability that could be included in that service." WebEx: audio features were not offered separately the customers did not perceive it as a separate service but instead as integrated into the whole product offering, and even if the customer chose not to use the audio function {or use only the audio function) that does not alter its classification as an information service
10 Commission Precedent USAC's classification also ignores the fact that customers using the audio portion of WebEx that was subject to reclassification are engaged in PSTN-to-computer communications. To date, the Commission has refused to classify computer-to-phone services as telecommunications or information services. Although the Commission has imposed USF contribution obligations on interconnected VoiP services, conferencing calling services are one-way and do not satisfy the definition of interconnected VoiP. Because WebEx is not "functionally identical" to lntercall or MeetingOne, USAC's classification decision is not supported by the Commission's audio bridging precedent either
11 Industry Perspective To the Online Meeting Industry, the answer to "is this an information service?" is "obviously, yes." If the Commission finds otherwise we need clear direction.
12 Compliance Needs Clear definition of what makes a product assessable Clear definition of how to separate the assessable portions Safe Harbor How to determine jurisdiction No "similarly situated" vagueness - We have no idea what "similarly situated" means or what makes a company "similarly situated"
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