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FDI: Treatment and operations, nes
In a Memorandum Opinion and Order that the Federal Communication Commission (FCC) adopted on February 26, 2015 the commission signaled its intention to dismantle rules adopted by state and local governments that limit competition in the provision of Internet service. The decision does not explicitly or exclusively deal with international investment in the provision of Internet service in U.S. localities, but the action could have the effect of opening this market to all commercial providers (domestic or foreign).
According to one analysis ('FCC Outlines Plan To Crush Awful State Protectionist Broadband Laws'), the municipal broadband rules that gave rise to this action are 'pure, unabashed protectionism,' insofar as they 'do little more than protect regional duopolies from change while hamstringing local communities desperate for better service.' In its Memorandum Opinion and Order the FCC indicates that it intends to use Section 706 of the Telecommunications Act of 1996 to preempt state laws that conflict with federal regulation of interstate commerce for the good of local communities. Section 706 directs the FCC to take action to remove barriers to broadband investment, deployment, and competition.
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