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FCC Votes to Increase E-rate Telecom Taxes

In mid-December, the Federal Communications Commission voted to hike fees on consumers’ wireless services, subsidizing the cost of Internet connectivity for public libraries and school. Created in 1996 as part of the Telecommunications Act, the E-rate program receives $2.25 billion annually in consumers’ money, through the Universal Service Fund, a line-item fee tacked upon to the bills of consumers’ wireless devices. FCC Chairman Tom Wheeler proposed a 62 percent increase, increasing the size...

Obama to the FCC: Go Ahead and Break the Internet

President Barack Obama’s recent call to the Federal Communications Commission to strictly regulate broadband networks could be the death knell for the open, free, and prosperous Internet that has become one of the key engines of the American economy. That engine is not broken, but bureaucratic meddling will surely do the trick. In 1996, Congress classified broadband as an “information service” under Title I of the Telecommunications Act, a light regulatory touch that allowed the digital economy...

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