Earlier this year, the Federal Communications Commission voted to ease the way for cities to become Internet service providers. So-called municipal broadband is already a reality in a few towns, often providing Internet access and faster service to rural communities that cable companies don’t serve.
The cable and telecommunications industry have long lobbied against city-run broadband, arguing that taxpayer money should not fund potential competitors to private companies.
The telecom companies have what may seem like an unlikely ally: states. Roughly 20 states have restrictions against municipal broadband.
If the court upholds the FCC’s authority to preempt restrictions in North Carolina and Tennessee, it may embolden other cities to file petitions with the agency, according to lawyer Jim Baller, who represents Wilson and the Chattanooga Electric Power Board. “A victory by the FCC would be a very welcome result for many communities across America,” said Baller.