The US telecom industry called on the Federal Communications Commission on Friday to block Chattanooga Tennessee and Wilson North Carolina from expanding high-speed internet services to their residents.
USTelecom, consists of giants Verizon, AT&T, Comcast and others.
“The success of public broadband is a mixed record, with numerous examples of failures,” USTelecom said in a blogpost. “With state taxpayers on the financial hook when a municipal broadband network goes under, it is entirely reasonable for state legislatures to be cautious in limiting or even prohibiting that activity.”
USTelecom claims the FCC has no legal standing over the proposed expansions.
“States have adopted a wide range of legislative approaches on how much authority they give local governments to build, own and operate broadband networks. Some states require an election or public hearings before a public project can move forward. Others ask for competitive bids, and still others put restrictions on the terms of service so the public entities bear the same regulatory burdens as private service providers,” said USTelecom.
“States are well within their rights to impose these restrictions, given the potential impact on taxpayers if public projects are not carefully planned and weighed against existing private investment.”
>What is shocking is that they want muni broadband blocked in places where they do not intend to offer the service ever. This so their own efforts don’t look feeble in comparison. That is just stupid. [Aquarian](http://www.reddit.com/user/aquarain)[SOURCE](http://www.theguardian.com/business/2014/aug/29/us-telecoms-fcc-block-high-speed-internet-chattanooga)