Cable Broadband, Telecom or Not?

Looks like we are headed back to the courts soon where once again there will be deliberations about cable broadband’s classification – whether it is telecom or an information service. If its decided that it is telecom, then it means more regulation and more taxes. If it deemed information service, well then its business as usual. “Classifying cable modem service as a telecommunications service would drastically change the regulatory environment for cable modem service,” the U.S. government said in its brief by acting U.S. Solicitor General Paul Clement. According to Reuters, “If the appeals court decision stood, cable companies would be forced to follow pricing regulations, contribute to the universal service fund that subsidizes telephone service and face other obligations, the brief said.” The US Supreme Court will hear the appeals in March, decision will come in June.


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