>      This demarcation exists because, these regulations are in place 

Yes, the demaracation point exists, but where is it in different
jurisdictions.

The demarcation point between what is Customer Premises and what is Network
 is a hotley debated issue.  It is not even clear in the USA, where
different Public Utility Commissions have taken different positions (this
is State Regulated).

While the FCC took the position that the network should not extend more
than 12 inches into a building (or something to that effect) even that is
not clear cut because there certainly are  "programmable jacks" for data
service that extend deeper into the buildings.

This is at the heart of the difference between the US and Europe w.r.t.
ISDN.  The U-reference point is considered to be inside the Network in
Europe and inside the Customer Premises in the USA.

All this has to do with the bundling of services.  If a service provider
can deploy equipment inside the Customer Premises, than that service
provider can get the user locked into specific services of that service
provider which may make it difficult and expensive for other service
providers to offer competing services.

This is not a simple issue and I am sure we have not heard the last of it. 


Ciao,


Vic

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