Sprint sues government over elimination of broadband price capsEnlarge / Money. (credit: Getty Images | GP Kidd)
Sprint and Windstream sued the Federal Communications Commission this week over a decision that will help AT&T, Verizon, and CenturyLink charge higher prices for certain business Internet services.
The FCC last month voted to eliminate price caps for the so-called Business Data Services (BDS) that are offered by incumbent phone companies throughout the country.

The FCC decision to which Sprint and Windstream object only eliminated price caps in “competitive” markets, but it uses a standard that deems many local markets competitive even when there’s only one broadband provider.
Sprint and Windstream both purchase bandwidth from BDS providers to boost their own networks.

The Sprint/Windstream complaint in the US Court of Appeals for the DC Circuit alleges that the FCC decision is “arbitrary, capricious, and an abuse of discretion.” The complaint also asserts that the FCC decision violates federal laws including “the notice-and-comment requirements of the Administrative Procedure Act.”
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