During the first Trump administration, the FCC led by Ajit Pai eliminated federal Net Neutrality rules. It also tried to prevent states from enacting similar regulations, but that attempt was rejected by the courts. Thus, the door is now open to a flood of possible state broadband regulations, including state Net Neutrality, price regulation, and required fixed price broadband for low-income consumers. Some states have already begun to implement their own broadband regulations. For example, New York implemented a law that requires ISPs with over 20,000 customers in the state to offer $15 broadband plans with download speeds of at least 25Mbps, or $20-per-month service with 200Mbps speeds. A California bill would require $15 monthly plans with download speeds of 100Mbps and upload speeds of 20Mbps. Other states, such as Maine and Hawaii, are considering Net Neutrality rules on ISPs. Some states are even trying to roll back the clock and regulate ISPs as public utilities. Trying to meet such a multitude of state laws is extremely difficult for ISPs and at the very least will raise broadband costs for all.
Broadband providers have begun to fight back, seeking help from the Department of Justice (DOJ) which recently established a task force to eliminate anticompetitive regulations. In a May 27, 2025, filing, CTIA – The Wireless Association (CTIA), NCTA – The Internet & Television Association (NCTA), and USTelecom – The Broadband Association (USTelecom), request the DOJ to preempt the new flood of state regulations. They suggest several steps the DOJ should take to deregulate broadband services.
The Anticompetitive Regulations Task Force should recognize broadband as a key industry within its mandate… Accordingly, the Task Force should recognize state regulation of broadband as among the paradigmatic examples of the anticompetitive regulations it is seeking to address. If the Task Force plans to hold hearings or roundtables, it should include representatives from the broadband industry. If the Task Force plans to issue a report, or any other work product examining and analyzing competition issues, it should spotlight these threats to broadband service.
The Antitrust Division should partner with the FCC to protect the free market for broadband… [It should cooperate] with the FCC on actions to address the growing threat posed by anticompetitive state laws. In particular, the Division should work with the Commission to develop its findings regarding the importance of a free market for broadband, the harms threatened by state interference in that market, and the urgency of eliminating that interference. The Division should also partner with the Commission to thoroughly examine every possible tool in the federal government’s toolbox, including all ways in which the Commission can take regulatory action to preempt harmful state regulations. And the Division should offer its considerable expertise to supplement any competitive analysis that the Commission may perform.
The Antitrust Division should work with other components of the Department of Justice to consider bringing affirmative preemption litigation against the harmful state laws already on the books or soon enacted—particularly those that directly regulate broadband rates…At a minimum, if the Department does not ultimately decide to pursue litigation itself, it should support challenges by industry through amicus briefs or statements of interest.
In addition to seeking DOJ intervention, ISPs have also released their own study to demonstrate the potential harms of state broadband regulations. ACA Connects; a group of small and mid-sized ISPs released a May 27, 2025, study that found state broadband regulations would negatively impact investment, competition, and consumer welfare. The study can be found at index.php.
It is clear that state regulations are becoming a big problem for broadband service providers. With the courts finding that the FCC cannot preempt the states, the best hope appears to be the DOJ or Congress. With anti-regulatory Republicans in charge of both, ISPs better get something done now, because once Democrats take over, they are unlikely to find many allies.