A US Appeals Court has ruled that the Federal Communications Commission (FCC) lacks legal authority to reinstate net neutrality rules supported by the Biden administration.

The ruling challenges President Biden's 2021 executive order that aimed to restore net neutrality regulations originally implemented under President Obama in 2015 and later repealed during the Trump administration in 2017.

Net neutrality rules require internet service providers (ISPs) to:

• Treat all internet data and users equally
• Avoid restricting access or slowing speeds
• Prevent blocking of content
• Prohibit paid prioritization arrangements for improved network access

The Appeals Court based its decision on the Supreme Court's Loper Bright ruling, which overturned the 1984 precedent allowing government agencies to interpret their administrative laws.

Incoming FCC Chairman Brendan Carr, who opposed net neutrality reinstatement, praised the court's decision, describing the executive order as an "internet power grab." He criticized the Biden administration's broader regulatory approach to internet governance, including:

• Pressure on social media companies regarding content moderation
• Implementation of "digital equity" rules
• Application of utility-style regulations to internet services

Carr emphasized that Biden's Title II regulations departed from a long-standing bipartisan consensus that had fostered internet growth in America. He committed to continuing efforts to reduce what he termed "regulatory overreach" by the Biden administration.

The ruling represents a significant setback for the Biden administration's internet regulation agenda and maintains the current deregulated framework for internet service providers.

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