Home Appeals court strikes down FCC’s landmark net neutrality regulations

Appeals court strikes down FCC’s landmark net neutrality regulations

TLDR

  • U.S. court strikes down FCC's net neutrality rules, citing lack of regulatory authority.
  • Decision follows Supreme Court precedent limiting agency powers under Loper Bright case.
  • Ruling sparks concerns over ISP practices; critics warn of reduced choice and higher costs.

A federal appeals court has struck down the Federal Communications Commission’s (FCC) landmark net neutrality regulations on Thursday (Jan. 2), effectively bringing an end to a nearly two-decade-long push to classify broadband internet providers as utilities.

In his opinion, U.S. Circuit Judge Richard Allen Griffin stated that the FCC lacked the authority to enforce net neutrality rules under the “telecommunications service” provision of the Communications Act, as broadband was classified solely as an “information service.”

He wrote: “In short, an ‘information service’ manipulates data, while a ‘telecommunications service’ does not. The core of the dispute here is whether Broadband Internet Service Providers offer the former or the latter, which is important because the Act instructs that a telecommunications carrier ‘shall be treated as a common carrier…to the extent that it is engaged in providing telecommunications services.’”

In its ruling, the three-judge panel cited the Supreme Court’s June decision in the Loper Bright case, which overturned a 1984 legal precedent granting deference to government agencies on regulatory matters.

The court stated: “Applying Loper Bright means we can end the F.C.C.’s vacillations.”

The decision is a setback to the outgoing Biden administration, which had prioritized restoring open internet rules. In 2021, President Joe Biden issued an executive order urging the FCC to reinstate the regulations.

Why does the FCC want net neutrality?

Net neutrality ensures that internet service providers (ISPs)—the companies users pay for internet access—treat all websites and online services equally. Without it, ISPs could charge companies and customers additional fees to access certain websites. If companies refuse to pay, ISPs could block or slow down access to those sites.

Democratic Senator for Massachusetts, Edward Markey, said in a statement that the decision was “deeply disappointing,” adding: “Without net neutrality, consumers, small businesses, and innovators alike will face increased costs, reduced choice, and less competition. It is a lose-lose-lose.”

He continued: “With the incoming Trump administration hostile to broadband regulations and intent on using communications law to target its political opponents, we are clear-eyed about the immediate future for net neutrality protections.”

Brendan Carr, appointed by President-elect Trump as the incoming FCC chair, has been a vocal opponent of net neutrality. The court’s reliance on the Loper Bright case in its decision may signal a wave of lawsuits aimed at dismantling federal regulations within the FCC and other agencies. Carr said that he was “pleased” by the decision and that “the work to unwind the Biden administration’s regulatory overreach will continue.”

Featured image: Canva

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Suswati Basu
Tech journalist

Suswati Basu is a multilingual, award-winning editor and the founder of the intersectional literature channel, How To Be Books. She was shortlisted for the Guardian Mary Stott Prize and longlisted for the Guardian International Development Journalism Award. With 18 years of experience in the media industry, Suswati has held significant roles such as head of audience and deputy editor for NationalWorld news, digital editor for Channel 4 News and ITV News. She has also contributed to the Guardian and received training at the BBC As an audience, trends, and SEO specialist, she has participated in panel events alongside Google. Her…

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