California Passes Far Reaching Net Neutrality Rules (Forbes)

Read the full article by Nelson Granados at Forbes.com

On Thursday the California Assembly passed net neutrality bill SB 822 with a 58-17 vote. This net neutrality law fills a void for the state left by federal lawmakers last June, when Trump's Federal Communications Commission (FCC) repealed net neutrality rules adopted back in 2015, during the Obama administration. This measure is far reaching for industries like media and entertainment because it provides a legal avenue for many content providers headquartered in California, such as Facebook, Google, film studios, TV studios, and gaming companies, in case internet service providers (ISPs) unfairly discriminate their content.

The bill reinstates for California the Obama-era's brightline rules, which forbid ISPs from blocking or degrading lawful content, or from prioritizing content for a fee. These brightline rules ensure a level-playing field to promote competition in the digital space, although no law is perfect: research shows forbidding paid prioritization can potentially hamper investment and innovation by ISPs.

But the bill goes beyond the brightline rules in two specific ways, which makes it the strongest net neutrality ruling passed so far in the U.S.

In the meantime, the California bill may protect consumers and content providers, but also indirectly hurt them as ISPs struggle to comply and innovate in what they may see as a more restrictive and confusing regulatory environment. But overall, net net, when the governor signs within the next 30 days, it will be better than nothing.