New York Requires Internet Providers to Offer $15 or $20 Plans to Low-Income Residents

The statements decrying price controls come despite the fact that federal and state taxpayers have given providers millions of dollars toward building out their infrastructure in New York in recent years.

In 2015, state lawmakers established a $500 million New NY Broadband program that gave internet providers funding to build out infrastructure in the state. Then, in 2021, the U.S. Congress enacted the BEAD program, which awarded New York internet providers nearly $665 million for internet infrastructure projects.

The providers themselves have contributed billions more toward building out the infrastructure, and some providers have accepted more public money than others.

But even with those differences and the massive expenditures by the providers themselves, isn’t it a little disingenuous to take public money with one hand while fighting price controls with the other?

I get that it’s complicated. Providers have to balance infrastructure growth with revenue. But I also think internet access is a necessity for modern life, and public officials have a responsibility to ensure the needs of their constituents are met. Furthermore, most families can only choose from one or two providers. That mean’s there’s no real competition, so no way for market forces to play out in the public’s favor. In situations like these, rate regulations are justified.

With the appeals court ruling and the decision by the Supreme Court to let it stand, we could see price control legislation in other states (but it’s not likely at the federal level). We’ll keep you updated as state legislatures and general assemblies meet throughout 2025.