Broadband Law Could Force Rural Residents Off Information Superhighway

The United States Court of Appeals for the Sixth Circuit upheld restrictive laws in North Carolina and Tennessee that will halt the growth of municipal broadband networks. While the decision directly affects only those two states, it has cast a shadow over dozens of city-run broadband projects started nationwide in recent years to help solve the digital divide.

In siding with the states, the court hobbled the boldest effort by federal officials to support municipal broadband networks. While the court agreed that municipal networks were valuable, it disagreed with the Federal Communications Commission’s legal arguments to pre-empt state laws. Now, cities like Wilson (NC) fear they have little protection from laws like those in about 20 states that curb municipal broadband efforts and favor traditional cable and telecom firms. City officials say cable and telecom companies that have lobbied for state restrictions will be encouraged to fight for even more draconian laws, potentially squashing competition that could lead to lower prices and better speeds to access the web. “This is about more than North Carolina and Tennessee,” said Deb Socia, executive director of Next Century Cities, a nonprofit coalition of cities exploring broadband projects. “We had all looked to the FCC and its attempt to pre-empt those state laws as a way to get affordable and higher-quality broadband to places across the nation that are fighting to serve residents and solve the digital divide.”