In what could be a major victory for public alternatives to internet service giants , the Federal Communications Commission introduced a draft proposal to kill municipal broadband limits in two states this week.
Commissioners are expected to vote on the proposal on February 26, the same day they are likely to vote on net neutrality regulations. The draft was introduced by FCC chairman Tom Wheeler.
If passed, the policy will preempt state laws that limit the extent to which cities can buy and operate internet service—laws which are reportedly preventing alternative, publicly-owned broadband providers from competing with major ISP companies like Comcast and Verizon. Local broadband operators petitioned the FCC to intervene on their behalf.
According to commissioners, the FCC has the authority from Congress and the Constitution to strike down barriers to broadband investment and competition. And under Section 706 of the Communications Act, the commission may also actively promote broadband development, which the petitioners say is at stake over these laws.
In Tennessee, operators are forbidden from building high-capacity networks beyond a certain geographical point, which the petitioners say has prevented them from providing internet to under-served communities. In North Carolina, public broadband is forbidden from having prices lower than a private carrier plan. Other regulations, the petitioners say, give preference to those private companies, particularly Comcast and Verizon.
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