Telecommunications Services

Telecom services now include fixed-network services (data retail, Internet retail, voice retail and wholesale) and mobile services.


Fixed-data services — Includes all dedicated/private line, packet and circuit-switched access services (for example, frame relay, asynchronous transfer mode, IP, Integrated Services Digital Network, DSL, multichannel multipoint distribution service [MMDS] and satellite) retail revenue. No differentiation is made between the type of traffic or application carried by these services. All types of transmissions — nonvoice data, image, video, fax, interactive services and even voice — can be carried by these services regardless of whether the source format is analog or digital. All revenue reflects service provider annualized retail revenue — paid for by the business and residential end user of the service; no wholesale or carrier-to-carrier revenue is included.

Fixed-voice services — This reflects retail voice service revenue for all services that are sold as such to end users and includes the provision of local and long-distance services related to voice (calling charges, line rental/subscription and connection fees are included in this category), enhanced voice services, data and fax transmission over the circuit-switched PSTN, and retail voice over IP revenue — paid for by the business and residential end user of the service; no wholesale or carrier-to-carrier revenue is included.


Mobile telecom services — Income from mobile telephone calls and mobile data usage (Short Message Service [SMS] and mobile data access) from all mobile operators in that regional market. Consumer charges are removed. Income from mobile telephone calling charges, mobile data access, SMS charges, line rental/subscription and connection fees are included in this category.

Wholesale/carrier services are not included as a component of business IT spending. Wholesale/carrier services reflect carrier revenue from carrier-to-carrier service transactions

elecommunications Services means the transmission, conveyance, or routing of voice, data, audio, video, or any other information or signals to a point, or between or among points, whatever the technology used. The term “telecommunications services” includes such transmission, conveyance, or routing in which computer processing applications are used to act on the form, code or protocol of the content for purposes of transmission, conveyance or routing without regard to whether such services are referred to as voice over internet protocol (VoIP) services or are classified by the Federal Telecommunications Commission as enhanced or value added, and includes video and/or data services that is functionally integrated with “telecommunication services”. “Telecommunications services” include, but are not limited to the following services, regardless of the manner or basis on which such services are calculated or billed: ancillary telecommunication services; mobile telecommunications service; prepaid telecommunication service (to the extent that it is practicable for the service supplier to collect the correct tax imposed under this Chapter from the service supplier); post-paid telecommunication service; private telecommunication service; paging service; 800 service (or any other toll-free numbers designated by the Federal Telecommunications Commission); 900 service (or any other similar numbers designated by the Federal Telecommunications Commission for services whereby subscribers who call in to pre- recorded or live service).