New York's affordable broadband law now in effect

New York's law requiring Internet Service Providers (ISPs) to offer affordable internet plans to low-income residents took effect this week, following a lengthy legal battle that concluded when the Supreme Court declined to hear the broadband industry's challenge after an appeals court upheld the law in April 2024.

The legislation mandates that ISPs provide internet service plans priced at either $15 or $20 per month for low-income households. The timing is particularly crucial as it coincides with the expiration of a federal FCC program that previously provided internet discounts to approximately 1.7 million New York households and 23 million households nationwide.

Small ISPs serving 20,000 or fewer households can apply for exemptions if they can demonstrate that compliance would create an "unreasonable or unsustainable financial impact." Over 40 small providers who filed for exemptions in 2021 can receive one-month exemptions by filing paperwork by Wednesday, with longer-term exemptions requiring detailed financial documentation by February 15.

Larger ISPs must comply with the Affordable Broadband Act (ABA) by January 15, 2025, or face civil penalties up to $1,000 per violation. The law applies to wireline, fixed wireless, and satellite providers. Several major providers already offer low-income plans, including Charter Spectrum ($25/month for 50Mbps), Comcast and Optimum ($15 plans), and Verizon (plans as low as $20/month).

CLICK HERE for an in-depth story about the law at Ars Technica.