US court denies stay of FCC net neutrality rules

The DC Circuit has denied the request of broadband providers to stay the FCC’s Open Internet, or net neutrality, rules.

FCC Chairman Tom Wheeler called the ruling a huge victory for internet consumers and innovators. The rules will take effect on 12 June, prohibiting blocking, throttling, and pay-for-priority fast lanes. The FCC said the rules will give broadband providers the “certainty and economic incentive” to build fast and competitive broadband networks.

Fortune Magazine noted that the ruling is only a partial victory for the FCC, as the court was only considering whether the situation warranted a temporary stay, as requested by a number of US operators. A full hearing on the issue is scheduled for later this year.

The Telecommunications Industry Association (TIA) said the decision was disappointing but that it was “just one battle in the industry’s fight”. TIA noted that internet has produced tremendous value for consumers under light regulatory rules. The association plans to file an amicus brief with the court on why the FCC’s actions were unlawful. TIA believes the court will ultimately invalidate the rules.

Comptel CEO Chip Pickering, a former Republican Member of Congress from Mississippi and supporter of the FCC Open Internet rule, said the decision sends a message of full steam ahead for consumers, start-ups and new network builders. He said the stay request was a delay tactic by internet gatekeepers seeking to control, block and assign new fees for internet access.

Public Knowledge applauded the decision but said the fight was not finished. CTIA and ACA also said they were pleased. USTelecom welcomed the decision.