Why net neutrality rules have angered some small Internet providers

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Large Internet service providers are roaring mad about new network neutrality rules and the reclassification of broadband as a common carrier service. Reaction among small ISPs is more diverse, but some of them say they will be saddled with legal costs so high that it will prevent them from upgrading equipment that provides Internet service to small towns and rural areas. Six members of the Wireless Internet Service Providers Association made these claims in declarations that accompanied a petition seeking to overturn the Federal Communications Commission decision. The declarations appear to be coordinated as they all contain similar language, but each ISP also has unique circumstances. The specific legal concerns raised by some small ISPs may or may not be real dangers. But at the very least, their worries show that the FCC could do a better job of communicating the real-world impact of the new rules, particularly if small companies pay lawyers for services that aren’t necessary.

For example, one president of a small ISP wondered if he is no longer allowed to disconnect customers who haven’t paid their bills since broadband is now considered a “utility” or if customers could file complaints if he can’t provide service to a particular home due to wireless signals being blocked by trees and hills. The small ISP president said he has no problem adhering to the basic net neutrality prohibitions on blocking, throttling, and paid prioritization, but he said, “We will need to pay lawyers to go through our customer agreements… can we require that disputes first be settled by arbitration or that we have 30 days to resolve it outside of court? We're going to have to spend a bunch of money on lawyers to determine that to try to minimize our exposure. Maybe all these things are in our imagination, but that’s what we'll have to pay lawyers to tell us.”


Why net neutrality rules have angered some small Internet providers