Who Regulates Internet Service Providers: FCC, FTC, and States

No single agency is in charge. Several federal, state, and local bodies regulate internet service providers in the United States, and which one you deal with depends on the problem. The Federal Communications Commission oversees network rules and service disclosures. The Federal Trade Commission handles privacy and deceptive business practices. The Department of Justice reviews ISP mergers. The National Telecommunications and Information Administration sets conditions on federal broadband funding. State attorneys general enforce consumer protection laws, and local governments control the rights-of-way ISPs need to build.

The Federal Communications Commission

The FCC is the primary federal regulator for ISPs. It oversees interstate and international communications across all 50 states and U.S. territories under the Communications Act of 1934 and the Telecommunications Act of 1996.1Federal Communications Commission. What We Do How far its authority reaches over broadband depends on how broadband is legally classified, and that has changed more than once.

Net Neutrality Status

The FCC’s power over ISPs depends on whether broadband is a “telecommunications service” under Title II of the Communications Act or an “information service” under Title I. Title II gives the FCC the kind of authority it has over traditional phone companies, including the ability to enforce net neutrality rules that block ISPs from throttling speeds, blocking sites, or selling paid fast lanes. Title I gives the FCC much less.

The FCC reclassified broadband as Title II in 2024, but the U.S. Court of Appeals for the Sixth Circuit struck that order down on January 2, 2025, holding that ISPs offer an information service and that the FCC lacks statutory authority to impose net neutrality through the telecommunications service provision.2United States Court of Appeals for the Sixth Circuit. In Re MCP No. 185 – Federal Communications Commission Broadband is currently classified under Title I, and there are no enforceable federal net neutrality rules. A handful of states have passed their own, but coverage is uneven.

Broadband Consumer Labels

The FCC does have clear, active authority over how ISPs disclose what you’re buying. Since 2024, every ISP must post a standardized “nutrition label” for each broadband plan. The label shows the monthly price, any introductory rate and what it jumps to, typical download and upload speeds, typical latency, data caps, one-time and recurring fees including equipment rental, and contract length.3Federal Communications Commission. Broadband Labels FNPRM Fact Sheet It must also link to the provider’s network management and privacy policies.4Federal Communications Commission. Broadband Consumer Labels

Providers with more than 100,000 subscriber lines have had to display these labels since April 10, 2024. Smaller providers had until October 10, 2024. If the plan you’re being sold doesn’t match the label, that mismatch is worth documenting.

Digital Discrimination Rules

The Infrastructure Investment and Jobs Act of 2021 directed the FCC to prevent digital discrimination of access, and the agency adopted rules in late 2023.5Federal Communications Commission. Implementing the Infrastructure Investment and Jobs Act Digital discrimination means ISP practices that produce unequal broadband access based on income, race, ethnicity, color, religion, or national origin, unless the provider can show a legitimate technical or economic reason.6Federal Communications Commission. Preventing and Eliminating Digital Discrimination Fact Sheet The rules cover both intentional discrimination and practices with a discriminatory effect. The FCC accepts both informal and formal complaints on this issue.

Equipment and Outage Rules

The FCC also decides what network equipment ISPs receiving federal funding can use. Under the Secure and Trusted Communications Networks Act, it maintains a “Covered List” of equipment and services considered national security threats. The list, last updated in January 2026, includes telecommunications gear from Huawei and ZTE, video surveillance equipment from several Chinese manufacturers when used for public safety or critical infrastructure, Kaspersky Lab cybersecurity products, and international services from several Chinese state-linked carriers.7Federal Communications Commission. List of Equipment and Services Covered By Section 2 of The Secure Networks Act

Significant service disruptions must be reported through the FCC’s Network Outage Reporting System.8eCFR. 47 CFR Part 4 – Reporting Requirements for Disruptions to Communications Under Section 224 of the Communications Act, the FCC also regulates ISP access to utility poles at set rates, which can be the difference between a network getting built and a project stalling for years.

The Federal Trade Commission

The FTC is the main federal cop for ISP business practices that fall outside the FCC’s communications-specific rules. Its authority comes from Section 5 of the FTC Act, which prohibits unfair or deceptive acts and practices.9Federal Trade Commission. A Brief Overview of the Federal Trade Commission’s Investigative, Law Enforcement, and Rulemaking Authority In practice, that covers misleading speed claims, hidden fees, and failures to protect customer data.

The FTC’s role in ISP privacy grew after Congress used the Congressional Review Act in 2017 to repeal FCC-adopted broadband privacy rules and bar the FCC from issuing similar ones. That left the FTC as the primary federal enforcer for ISP data practices, acting when a provider promises to protect personal information and then doesn’t.10Federal Trade Commission. Protecting Consumer Privacy and Security Enforcement

The FTC is also weighing broader rules. In August 2022 it issued an Advance Notice of Proposed Rulemaking on commercial surveillance and data security, asking whether to set requirements on data minimization, retention limits, and transparency.11Federal Trade Commission. Commercial Surveillance and Data Security Rulemaking Any rules coming out of that process would apply to ISPs alongside other large data collectors.

The Department of Justice

The DOJ’s Antitrust Division has a narrower job: keeping the ISP market competitive. It reviews mergers and acquisitions between internet and telecom companies under the Sherman Act and the Clayton Act, which prohibit anticompetitive behavior and mergers that substantially lessen competition.12United States Department of Justice: Antitrust Division. 2023 Merger Guidelines – Overview

Reviewing T-Mobile’s acquisition of UScellular, the division cited concerns about “the potential impact on consumers resulting from the elimination of UScellular from the market” and further consolidation of wireless spectrum. It warned that consolidation among major carriers leaves the market “vulnerable to increased coordination” that can produce higher prices, less innovation, and fewer choices.13U.S. Department of Justice. Statement of the Department of Justice Antitrust Division on the Closing of Its Investigation of the Merger of T-Mobile and UScellular

The National Telecommunications and Information Administration

The NTIA, part of the Department of Commerce, has become a de facto regulator through federal funding. It administers the Broadband Equity, Access, and Deployment (BEAD) Program, a $42.45 billion grant program from the Infrastructure Investment and Jobs Act of 2021.14NTIA. Broadband Equity, Access, And Deployment (BEAD) Program

ISPs taking BEAD money have to meet performance standards. Funded networks must deliver at least 100 Mbps download and 20 Mbps upload, with round-trip latency of 100 milliseconds or less, and must be designed to scale over time. States and territories hand out the funds, but the NTIA sets the floor and can reverse project approvals it considers unreasonable.15BroadbandUSA. Broadband Equity, Access, and Deployment (BEAD) Program FAQs Version 18 The strings attached to that money function as regulation even though the NTIA isn’t traditionally described as a regulatory agency.

State and Local Governments

Federal agencies don’t cover everything, and the gaps matter.

Local governments control the physical space ISPs need. Cities and counties grant franchise agreements to use public rights-of-way for fiber and poles, and those agreements can dictate where and how quickly a provider builds.

State attorneys general enforce state consumer protection laws against ISPs. Deceptive billing, misleading service terms, and violations of state privacy laws are common triggers for an AG investigation. A growing number of states have passed comprehensive data privacy laws that give residents rights to access, delete, or opt out of the sale of personal information held by ISPs.

Some states have their own net neutrality laws in place of the vacated federal rules, though coverage varies. Public Utility Commissions play a role in some states and none at all in others; in the latter, the PUC will typically send you back to the FCC.

Where to File a Complaint

Start with the ISP directly and keep a written record of every call, chat, and email. Federal agencies expect you to try that first, and documentation strengthens whatever comes next.

FCC

For billing, service availability, speeds, broadband label discrepancies, or digital discrimination, file at fcc.gov/complaints or call 1-888-CALL-FCC (1-888-225-5322). Informal complaints are free and require no lawyer. Once the FCC serves your complaint, the ISP must respond to you and the agency in writing within 30 days.16Federal Communications Commission. Filing an Informal Complaint A formal complaint process also exists, with a filing fee and stricter procedure; most consumer disputes resolve at the informal stage.

FTC

For deceptive advertising, hidden fees, privacy violations, or data breaches, report to ReportFraud.ftc.gov or 1-877-FTC-HELP (1-877-382-4357).17Federal Trade Commission. Contact the Federal Trade Commission The FTC doesn’t resolve individual disputes; it uses complaints to build enforcement cases. Filing still matters because clusters of complaints about the same practice can trigger an investigation.

State Attorney General

Your state AG’s office is often the most responsive channel for deceptive practices under state law. Many have consumer complaint portals and will contact the ISP on your behalf, which is especially useful for billing disputes and contract problems that don’t clearly fit federal jurisdiction.

Arbitration in Your Contract

Before considering any legal action beyond an agency complaint, read your ISP’s terms of service. Most major providers include mandatory arbitration clauses that force disputes into private arbitration instead of court. The Federal Arbitration Act generally makes those clauses enforceable, and no current FCC rule prohibits them in ISP contracts. Arbitration is usually faster and cheaper than litigation but typically bars you from joining a class action. Agency complaints with the FCC, FTC, and your state AG are separate from arbitration and remain available regardless of what your contract says.