(The Hosting News) – The Internet has been talking about President Obama’s stance on net neutrality, in which he called for the Federal Communications Commission to not allow Internet companies the ability to slow traffic in order to gain profits.
Many are worried that consumers could end up paying more in broadband taxes if this were to be passed. According to PCWorld, consumers could end up seeing a 16% increase in taxes under Title II of the Communications Act.
Republican FCC member Michael O’Rielly stated that the regulation could add USF fees as well as state and local telecom taxes.
“Consumers of these services would face an immediate increase in their bills,” noted O’reilly.
Broadband providers such as AT&T, Verizon, and Comcast have expressed their disapproval with Obama’s stance, with AT&T claimng they would challenge the rules in court if passed.
“For a generation, the Internet has been an American success story. Light-touch regulation has encouraged levels of investment unprecedented by any industry and spawned incredible innovation. Today’s action puts all of that at risk—and puts it at risk not to remedy any specific harm that has occurred,” said AT&T senior executive VP Jim Cicconi.
The FCC’s ruling on net neutrality should be announced sometime next year.