The Trump administration has taken a stance against net neutrality rules and price regulations enforced by states, particularly in the context of broadband deployment grants. According to a Commerce Department official, the administration is withholding broadband-deployment grants from states that implement net neutrality rules or price regulations.
The administration argues that net neutrality rules are seen as a form of rate regulation, which is deemed incompatible with the US law governing the $42 billion Broadband Equity, Access, and Deployment (BEAD) program. Arielle Roth of the Commerce Department highlighted that states accepting BEAD funds must ensure that Internet service providers are exempt from both net neutrality rules and price regulations across the entire state, not just in areas where broadband deployment is funded.
Despite the administration’s directive, states have the option to challenge the NTIA decisions and potentially take legal action against the US government. However, such legal battles could prolong the process and result in households remaining without adequate broadband services for an extended period.
Roth emphasized the administration’s position during a speech at the Hudson Institute, stating, ‘Consistent with the law, which explicitly prohibits regulating the rates charged for broadband service, NTIA is making clear that states cannot impose rate regulation on the BEAD program.’
California and New York, with their own net neutrality laws, are likely to face challenges due to the conflicting stances between state regulations and federal directives.
Source: Ars Technica