On October 1st, a U.S. federal court upheld the FCC's 2017 decision to eliminate net neutrality rules while simultaneously limiting the Trump Administration's ability to prevent states from implementing their own net neutrality regulations.

The D.C. Circuit Court of Appeals affirmed the FCC's authority to repeal net neutrality rules, which originally required internet service providers to treat all traffic equally under Obama-era regulations. However, the court overturned the FCC's attempt to preempt states from adopting their own net neutrality rules.

Key Points of the Ruling:

• Upheld the FCC's authority to eliminate federal net neutrality rules
• Rejected the FCC's blanket preemption of state-level regulations
• Required the FCC to rework certain aspects of its neutrality repeal
• States can now pursue their own net neutrality legislation

The ruling particularly impacts states like California, which implemented its own net neutrality rules in 2018 and was subsequently sued by the U.S. Justice Department. The court determined that the FCC "ignored binding precedent" when attempting to prevent state-level statutes.

While FCC Chairman Ajit Pai welcomed the ruling as a victory for deregulation, opposition remains strong. Democratic FCC Commissioner Jessica Rosenworcel stated that the FCC was "on the wrong side of the law" and emphasized that the fight for net neutrality will continue at local, state, and federal levels.

Digital advocacy groups see this as an opportunity to restore net neutrality state by state, with Fight for the Future noting that California's strong bipartisan protections could serve as a model for other states.

The decision means the FCC must now address each state's net neutrality laws individually rather than imposing blanket restrictions, potentially leading to a patchwork of regulations across different states.

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