MagicJack under attack for 911 fees

A county in West Virginia is taking MagicJack to task over 911 fees, demanding the service provider collect and pay for 911 fees needed to fund the county's emergency call center.

While the story seems to be limited to a local spot, the court fight might have some interesting ramifications. YMax, MagicJack's parent has maintained that the MagicJack service does not fall under the regulations requiring phone companies to collect 911 fees. YMAX claims it is not an Internet telephone company as defined by the Federal Communications Commission (FCC) because the commission defines VoIP providers as companies offering a single service to make and receive calls.

MagicJack somehow offers two separate services--MagicIN and MagicOut--to receive and send calls respectively. The fact that they are two services makes the USB-based calling service(s) exempt from paying fees. The claims seem tough to prove though since the MagicJack is a device that you purchase for $39.99 and get unlimited calls free. Not sure how a consumer or how the FCC would see that as separate services. A local commission is set to hear the case in March. Should be interesting to see what fate they decide for MagicJack--and if any higher powers will get to hear about it.

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