A federal appeals court in New York on Friday made a decision that could change the game for low-income ISP customers. The Court ruled that ISPs must now offer heavily discounted broadband services to these customers, a move that could bridge the digital divide. The ruling comes from the Affordable Broadband Act, passed in 2021 by state lawmakers but previously blocked by a lower court.
In 2021, telecommunications trade groups sued over the law, including The New York State Telecommunications Association; CTIA; America’s Communications Association; USTelecom; Rural Broadband Association and the Satellite Broadcasting & Communications Association. StateScoop reported that ISPs might need to offer services for as low as $15 per month under the Act.
“If [ISPs] believe a requirement to provide internet to low-income families at a reduced price is unfair or misguided, they have several pathways available to them,” the U.S. Court of Appeals for the 2nd Circuit wrote in its ruling. “They could take it up with the New York State Legislature. They could ask Congress to change the scope of the FCC’s Title I authority under the Communications Act. They could ask the FCC to revisit its classification decision, as it has done several times before. But they cannot ask this Court to distort well-established principles of administrative law and federalism to strike down a state law they do not like.”
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