TC2's David Rohde on Telecom

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Tag: Surcharges


USF contribution factor makes another turn back up

Posted on by David Rohde

Are all the prices stabilized in your contract? Likely all but one – surcharges. Here we go again: the contribution factor for the Universal Service Fund is going back up on Oct. 1 to 15.6%. It’s currently 15.1%. That straightforward … Continue reading


Surcharge increases prove there is no shame in telecom

Posted on by David Rohde

The carriers have literally gone off the deep end with their latest surcharge increases. Okay, not literally. In the past 10 days both AT&T and Verizon have put through substantial new hikes in their surcharges via the usual method – quiet … Continue reading


Now it’s AT&T’s turn to find yet another “administrative” expense

Posted on by David Rohde

Administrative fees, regulatory fees, what’s the diff? When it comes to carrier surcharges, you have to wonder. First we had Verizon’s implementation of an “Administrative Expense Fee” on wireline services with a description that certainly sounds like it overlaps the … Continue reading


Of credits, surcharges, and the need to focus on unit rates

Posted on by Tony Mangino

The following is a guest post by TC2 Senior Consultant Tony Mangino, who is based in Atlanta. What’s your net rate? Easy: Gross price minus discount. Right? Well, if it’s that easy, you should be wary of a net rate that … Continue reading


Apparently feeling left out, Verizon adds an Administrative Expense Fee

Posted on by David Rohde

Were you under the impression that Verizon does not have a surcharge for the regulatory costs it incurs? Neither was I. They always charge extra for regulatory costs! And yet today Verizon added a regulatory-related “Administrative Expense Fee” of 0.45% … Continue reading


The beginning of the end of the independent Sprint

Posted on by David Rohde

Sprint this morning has confirmed that it’s considering a sale of the company. That may not be quite the way it put it. Sprint says that Japanese giant SoftBank – a major mobile provider among many other businesses – is … Continue reading


Those property tax fees take all the fun out of USF decreases

Posted on by David Rohde

By now you may have noticed that the universal service surcharge for the third quarter dropped from 17.4% to 15.7%. The way in which the official USF “contribution factor” bounces around from quarter to quarter depends on technical factors affecting … Continue reading


AT&T’s Property Tax Allotment increase restarts the surcharge merry-go-round

Posted on by David Rohde

Here come more changes in the percentage-based surcharge line-up. AT&T has just increased its “Property Tax Allotment” fee from 3.17% to 4.05% of applicable revenues, effective May 1. More changes in the percentage-based federal surcharges, either from the other carriers … Continue reading