Exclusive: FCC will study cost of landlords’ broadband deals
Why it matters: Despite cities having more competition among broadband providers, those in apartment buildings can be stuck with one provider because of the arrangements.
Driving the news: A senior agency official told Axios the FCC on Tuesday will begin seeking comment on the impact certain practices have on tenants, including:
- Revenue sharing agreements in which the landlord takes a percentage of the revenue an internet service provider receives, incentivizing the landlord to steer tenants to that provider.
- Exclusive wiring agreements that involve a landlord saying only one internet provider can use a building’s wires to provide service.
- Exclusive marketing agreements where only one company can market its services in the building.
Between the lines: The FCC already has a rule banning exclusive contracts between landlords and internet providers, but the senior official said that these other practices have the effect of keeping competition out of buildings.
The big picture: The FCC’s move is its first step in addressing competition among broadband providers since President Biden signed an executive order on competition. The order urged the agency to begin a rulemaking that would prevent landlords and cable and internet service providers from limiting tenants’ choices for service.
- The new inquiry will lay the groundwork for the agency to potentially impose new rules.
Source: axios.com
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