Net neutrality is struck, ending a long battle to regulate ISPs like public utilities

A federal appeals court struck down the Federal Communications Commission’s net neutrality rules, ending a 20-year push to regulate internet service providers like a public utility.

A U.S. Court of Appeals for the Sixth Circuit in Cincinnati on Thursday ruled that the FCC did not have legal authority to reinstate the landmark net neutrality rules.

It’s a largely partisan issue that has found Democrats on the side of so-called net neutrality in an effort to hold ISPs more accountable for providing fast, safe and reliable internet for all. The decision deals a blow to the Biden Administration, which prioritized implementing net neutrality rules.

Net neutrality was first introduced by the FCC during the Obama Administration in 2015 and was repealed two years later under then-President Donald Trump.

Then, last year, the FCC effectively reinstated net neutrality when it voted to reclassify broadband as a public utility, such as water and electricity, to regulate access to the internet. Under the Communications Act of 1934, such public utility services are subject to government regulation.

In doing so, the FCC aimed to make ISPs accountable for outages, require more robust network security, protect fast speeds, and require greater protections for consumer data.

Brendan Carr, the incoming FCC Chair appointed by President-elect Trump, in a statement celebrated the appellate court’s decision to nullify what he called “Biden’s Internet power grab,” and added that he will continue to work to unwind the Biden Administration’s regulations.

Current FCC Chair Jessica Rosenworcel, meanwhile, urged Congress to act following the ruling.

“Consumers across the country have told us again and again that they want an internet that is fast, open, and fair,” she said in a statement. “With this decision it is clear that Congress now needs to heed their call, take up the charge for net neutrality, and put open internet principles in federal law.”

Following last year’s FCC order to revive net neutrality, USTelecom, a trade group that represents ISPs including AT&T and Verizon, sued and convinced the appellate court to temporarily block the net neutrality rules while they considered the industry’s case.

USTelecom hailed Thursday’s decision in a statement, calling the struck rules “a victory for American consumers that will lead to more investment, innovation, and competition in the dynamic digital marketplace.”

Despite the decision to nix federal oversight, tough net neutrality rules passed in California, Washington and Oregon and other states will stand.