
A US court has rejected the Biden administration's attempt to restore “net neutrality” rules, finding that the federal government does not have the power to regulate internet providers like utilities.
It marks a major defeat for so-called open internet advocates, who have long fought for protections that would require ISPs like AT&T to treat all legal content equally.
Such rules were first introduced by the Federal Communications Commission under former Democratic President Barack Obama, but were later repealed during Republican Donald Trump's first term.
The decision, just as Trump is poised to enter the White House for a second term, likely ends a years-long legal battle over the issue.
In their decision, the justices noted that various administrations have gone back and forth on the issue.
But they said the court should no longer give “deference” to the FCC's reading of the law, pointing to a recent Supreme Court ruling that limited the power of federal agencies to interpret laws, a ruling that critics expect will be used to weaken regulation in the years to come.
“Applying Loper Bright means we can end the FCC's hesitation,” the Sixth Circuit Court of Appeals said.
Brendan Carr, the Republican member of the FCC whom Trump tapped to lead the agency, said he was pleased the court had struck down the Biden administration's “internet power grab.”
The outgoing Democratic FCC commissioner said the ruling moved the issue to Congress.
“Consumers across the country tell us time and time again that they want an Internet that's fast, open and fair,” said Jessica Rosenworcel.
“This decision makes it clear that Congress must now heed their call, take responsibility for net neutrality, and enshrine the principles of an open internet in federal law.”
The fight over net neutrality was once a heated issue in the US, pitting ISPs against big tech companies like Google and Netflix.
Comedian John Oliver famously called on his audience to voice support for the rules, leading to a flood of comments that crashed the government's website.
But the issue faded in prominence after the rules were lifted in 2018.
Thursday's ruling does not affect state-level net neutrality laws, which in some places offer similar protections.
But advocates such as Mr Oliver said national rules were important to prevent ISPs from having the power to restrict certain content or charge more for the speed of their services.
Public Knowledge, a progressive internet policy group, said the decision weakened the FCC's power to shape privacy protections, enforce public safety measures and take other actions.
He said he believed the court erred in ruling that ISPs were simply offering an “information service” rather than acting as telecommunications companies.
“The court has created a dangerous regulatory loophole that leaves consumers vulnerable and gives broadband providers unchecked power over Americans' access to the Internet,” it said.
But USTelecom, an industry group whose members include AT&T and Verizon, said the decision was “a win for American consumers that will lead to more investment, innovation and competition in the dynamic digital marketplace.”