Page 11 - BFAAM Fall/Winter 2023

the internet to flourish.
• The digital discrimination rules would cover every business
practice related to providing broadband access, including broadband deployment decisions, quality of service met- rics, customer service, and even prices. What’s more, the FCC unilaterally expanded its authority to regulate any business or local government that facilitates or affects access to broadband potentially bringing in landlords, in- frastructure owners, marketing and advertising firms, and construction companies.
UNDERSTANDING THE LEGAL CONCERNS
Both rulemakings rest on shaky legal grounds that make them vulnerable to court challenges and contribute to significant policy uncertainty for private sector innovators.
THE NEGATIVE IMPACT OF THESE RULES ON CLOSING THE DIGITAL DIVIDE
Both rulemakings will hinder the goal of connecting all Americans and undermine policymakers’ efforts to build modern broadband networks.
• Title II imposes a burdensome regulatory structure over the broadband industry and the threat of additional reg- ulations emanating from Title II creates significant uncer-
tainty. Last time the FCC attempted Title II regulation, in- vestment in broadband networks slowed for the first time outside of a major economic event.
• The new digital discrimination rules’ disparate impact lia- bility and the threat of regulatory action means that far-left activists, through regulators, would regularly second guess business decisions in the broadband industry, chilling pri- vate sector investment and increasing cost of every busi- ness decision.
LOOKING AHEAD
Each rulemaking is at a different stage. On November 15th, the FCC voted 3-2 to approve the digital discrimination rule. Pending any legal challenges, the rules are expected to go into effect next year. Title II reclassification is at the beginning of the rulemaking process with comments due this month, and the FCC is likely to adopt rules in Spring 2024.
The U.S. Chamber continues to fight harmful regulations that hin-
broadband to communities across the country.
der the private sector’s ability to bring reliable, fast, and secure
MATT FURLOW IS THE POLICY DIRECTOR, CHAMBER TECHNOLOGY EN- GAGEMENT CENTER (C_TEC) FOR THE U.S. CHAMBER OF COMMERCE. HE CAN BE REACHED AT MFURLOW@USCHAMBER.COM.
629 West Hillsdale Street
Lansing, MI 48933
P 517.485.4832 | F 517.485.9408
www.bfaam.org
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