Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Any new U.S. Internet rules must withstand lawsuits: FCC chief

Published 11/21/2014, 04:36 PM
Updated 11/21/2014, 04:36 PM
© Reuters. Wheeler testifies before a House Energy and Commerce Communications and Technology Subcommittee hearing on oversight of the FCC on Capitol Hill in Washington

By Marina Lopes

WASHINGTON (Reuters) - U.S. regulators expect Internet service providers to sue the government over any changes in the way they are regulated and must reevaluate any proposals to make sure they stand up in court, Federal Communications Commission Chairman Tom Wheeler said at a meeting on Friday.

Last week U.S. President Barack Obama said Internet service providers should be regulated more like public utilities to make sure they grant equal access to all content providers. This touched off intense protests from cable television and telecommunications companies and Republican lawmakers.

"Let's make sure that we understand what is going on here. The big dogs are going to sue regardless of what comes out," Wheeler said.

"We need to make sure that we have sustainable rules, and that starts with making sure that we have addressed the multiplicity of issues that come along and are likely to be raised," he added.

Wheeler did not explicitly address the reclassification of Internet service providers and a spokesman said he is still evaluating multiple options. Experts have said reclassification could be challenging to argue in court. A decision is not expected before 2015.

On Nov. 12, AT&T Inc said it would stop investing in high-speed Internet connections in 100 cities until the Web rules were settled.

Public advocacy groups shrugged off Wheeler's statements.

"Granted everyone would like to see signs one way or the other, but I think that this is mostly the chairman putting up a Washington poker face," said Harold Feld, senior vice president at Public Knowledge, a public interest group.

© Reuters. Wheeler testifies before a House Energy and Commerce Communications and Technology Subcommittee hearing on oversight of the FCC on Capitol Hill in Washington

"Chairman Wheeler has learned that on net neutrality he has to tow a very careful line and all of his statements are very carefully neutral," he said.

(Additional reporting by Susan Heavey; Editing by David Gregorio)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.