Verizon welcomed the FCC action and pledged to help control prices. "We are appreciative that supporting commissioners recognized changes in technology and the marketplace," Susanne Guyer, Verizon senior vice president for federal regulatory affairs, said in a statement. "The end result will be greater innovation, more competitive pricing and more flexible arrangements tailored to meet the needs of our business customers."

But Earl Comstock, president of Comptel, a Washington-based association of smaller phone companies, blasted the FCC action. "Competition and consumers are now at the mercy of Verizon's financial self-interest," he said in a statement.