FCC chairman sets out to scrap open internet access rules

MENLO PARK, CALIF. — The chairman of the Federal Communications Commission followed through Tuesday on a pledge to scrap rules around open internet access, allowing giant cable and telecom companies to throttle broadband speeds and favor their own services if they wish.

Ajit Pai sought to repeal “net neutrality” regulations enacted under the Obama administration. The current rules treat internet service providers such as Comcast, AT&T and Verizon as if they were utility companies that provide essential services, like electricity. The rules mandate that they give equal access to all online content and apps.

Pai said those rules discourage investments that could provide even better and faster online access. Instead, he said new rules would force ISPs to be transparent about their services and management policies, and then would let the market decide.

“Under my proposal, the federal government will stop micromanaging the internet,” Pai said in a statement.

Pai distributed his alternative plan to other FCC commissioners Tuesday in preparation for a Dec. 14 vote. Pai promised to release his entire proposal Wednesday. Although the FCC’s two Democrats said they will oppose the proposal, the repeal is likely to prevail as Republicans dominate 3-2. The vote for net neutrality in 2015 was also along party lines, but Democrats dominated then.

Equal treatment for all web traffic has been a fundamental principle of the internet since its creation but companies have increasingly put their thumb on the scales of access. AT&T, for example, doesn’t count use of its streaming service DirecTV Now against wireless data caps, potentially making it seem cheaper to its cellphone customers than rival TV services. Rivals would have to pay AT&T for that privilege.

Regulators, consumer advocates and some tech companies are concerned that repealing net neutrality will give ISPs even more power to block or slow down rival offerings.

A repeal also opens the ability for ISPs to charge a company like Netflix for a faster path to its customers. Allowing this paid-priority market to exist could skew prices and create winners and losers among fledgling companies that require a high-speed connection to end users.

Pai, who was appointed by President Donald Trump, said in an interview on Fox News Radio that Trump did not have any input on his proposal. Asked whether deregulation would result in higher prices and put speedy internet access out of the reach of blue-collar Americans, Pai said “it’s going to mean exactly the opposite.”

“These heavy-handed regulations have made it harder for the private sector to build out the networks, especially in rural America,” Pai said.