Court rejects FCC stance on cable Internet
A federal appeals court has rejected the U.S. Federal Communications Commission (FCC) stance that cable-based Internet services are an information service rather than a telecommunication service.
The Ninth Circuit Court of Appeals in San Francisco said Monday that the FCC had been wrong in its decision made in March 2002, to classify cable Internet services as an information service. An information service is subject to less competition regulation than a telecommunication service, which must open broadband lines to competitors.
The Ninth Circuit court's own decision, made in 2000, on an AT&T (Corp.) versus City of Portland case must stand, it said.
FCC Chairman Michael Powell said in a statement released late Monday that the FCC will appeal the decision.
Powell said that he was disappointed the court felt itself to be bound by the previous ruling. This decision would "throw a monkey wrench into the FCC's efforts to develop a vitally important national broadband policy," he said.
IDG News Service
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