The Federal Communications Commission has approved a new set of rules aiming to prevent “digital discrimination.” This means that the agency can now hold telecom companies accountable for digitally discriminating against customers based on income level, race, or religion. These new rules are part of the Biden Administration’s 2021 Bipartisan Infrastructure Law, which requires the FCC to develop and adopt anti-digital discrimination rules.
FCC Chairwoman Jessica Rosenworcel stated that “Many of the communities that lack adequate access to broadband today are the same areas that suffer from longstanding patterns of residential segregation and economic disadvantage. It shows that minority status and income correlate with broadband access.” This association between access to broadband and socioeconomic indicators highlights the need for these rules to address disparities across different communities.
Under the new rules, the FCC can fine telecom companies for not providing equal connectivity to different communities “without adequate justification,” such as financial or technical challenges of building out service in a particular area. The rules specifically target the correlations between household income, race, and internet speed. These measures are intended to address the disparities in internet access and service quality that have been observed across different communities.
A joint report from The Markup and the Associated Press found that AT&T, Verizon, and other internet service providers offer different speeds depending on the neighborhood in cities throughout the US. The report uncovered that neighborhoods with lower incomes and fewer white people receive slower internet speeds while paying the same prices as those in more affluent neighborhoods. USTelecom, an organization that represents major telecom providers, previously attributed the higher prices in certain communities to the need to maintain older equipment.
Despite receiving a 3-2 vote in favor of the new rules, the FCC faced criticism from some quarters. Critics argue that the rules represent an overextension of the FCC’s power, with the CEO of USTelecom, Jonathan Spalter, describing the rules as “overly intrusive, unworkably vague, and ultimately harmful steps in the wrong direction.” However, supporters of the rules argue that they are essential for addressing the disparities in internet access and service quality.
Joshua Stager, the policy director of the nonpartisan organization Free Press, highlighted the evidence that low-income families and people of color are more likely to live in monopoly service areas with just one high-speed internet provider. He emphasized that this lack of competition can lead to lower-quality networks, poor service, and higher prices, and that Congress was right to grant the FCC the authority to enact these anti-discrimination rules.
In addition to the new rules, the FCC will establish an “improved” customer portal where the agency will field and review complaints about digital discrimination. This customer portal will take into account factors such as broadband deployment, network upgrades, and maintenance across communities when evaluating providers for potential rule violations, giving the FCC the authority to address the disparities in internet access throughout the US.
In conclusion, the new rules approved by the FCC signify an important step in addressing digital discrimination and disparities in internet access and service quality. These rules are intended to ensure that all communities receive equal access to high-quality internet services, regardless of income level, race, or other demographic factors. The establishment of an improved customer portal also reflects the FCC’s commitment to addressing complaints about digital discrimination and taking into account a wide range of factors when evaluating providers for potential rule violations.