Taipei – Taiwan’s National Communications Commission (NCC) will schedule another meeting to resolve an Internet Protocol (IP) peering fees dispute between two major telcos Chunghwa Telecom and Taiwan Fixed Network. The companies met at the NCC last week to solve the argument. Chunghwa Telecom proposed changes to its service charges, but the NCC did not acknowledge the proposal. “Chunghwa Telecom presented us with a complicated formula explaining the way they set prices, but we considered the new price to be not much different from the old one,” said Lee Ming-chung, NCC division chief, as reported by Taipei Times. Lee said the commission believed Chunghwa Telecom could drop its prices further as its infrastructrure costs had already been recouped. Peering refers to the link between two separate internet networks that allows customers to exchange traffic. Given that the bulk of overseas websites can only be accessed via Chunghwa Telecom’s undersea cables, other fixed network service providers must use Chunghwa Telecom’s peering service. The dispute over the IP peering fee broke out recently when Chunghwa Telecom decided to restrict the bandwidth used for the 2G peering service with Taiwan Fixed Network because the latter had not paid its fees this year. With this, Taiwan Fixed Network said it had been overcharged by Chunghwa Telecom and asked to renegotiate a new peering fee. The NCC launched an investigation to monitor the traffic flow between the two networks, and Chunghwa Telecom resumed its prior service agreement with Taiwan Fixed Network the next day under the NCC’s orders. Chunghwa Telecom charges NT$1,500 per megabyte if the bandwidth is smaller than 500 megabytes per second and NT$3,000 per megabyte if it is higher. The NCC said this was unreasonable and that fees for larger amounts should be discounted.
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