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June 27, 2005

Supreme Court rules for cable companies

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Posted by Dominic Basulto

In a case involving the FCC and Brand X Internet, the U.S. Supreme Court ruled 6-3 that cable companies are "under no legal obligation to share their lines with smaller Internet service providers, dealing a major blow to independent ISPs, extending the power of the U.S. Federal Communications Commission, and opening up the possibility of extensive deregulation in the telecommunications world." That's good news for companies like Comcast and Time Warner, who warned that having to share lines would "damage their business and discourage them from investing in new networks, delaying deployment of broadband across the country."

So is the court ruling in favor of the cable companies good for the typical consumer? ZDNet has provided a handy FAQ on the Brand X case to answer just that question.

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