N.C. Judge Rules Against Telecoms in Fiber Dispute

LAURINBURG, N.C. — An appellate court ruled recently that a North Carolina town should be allowed to use municipal resources to provide high-speed Internet access to local users, landing the first blow against telecommunications companies that have been trying to maintain a hold on broadband access.

Siding with the city of Laurinburg against Bellsouth Telecommunications Inc., North Carolina Appellate Judge B. Craig Ellis found that cities within the state were acting legally when they created a 19-mile loop of fiber optic cable and provided Internet access to local schools, universities and hospitals.

Ellis ruled that the fiber network, originally created to only allow broadband access between Laurinburg’s city hall and its public works building, acted appropriately when it decided to sell access to non-governmental groups in order to make the network cost-effective.

Bellsouth had argued that a 1971 state law that stated that municipal governments could only sell certain types of services, including a cable television system, prohibited the city from operating as a business.

“Just as Bellsouth is able to leverage its telephone infrastructure to provide low cost DSL broadband services in the market, so too should a municipality be able to leverage its infrastructure,” wrote the court.

“We acknowledge that Laurinburg’s fiber optics network was most likely not something the legislature envisioned in 1971 when they enacted the statute allowing a municipality to operate […] as a public enterprise,” wrote the court. “However, if Laurinburg were currently offering the kind of cable programming in place in 1971, and doing so over their fiber optic network, they clearly would be authorized to offer the current bundle of network services over those same lines as ‘additional and supplementary powers that are reasonably necessary or expedient.”

The decision brings one of the first defeats for telecom companies that have been accused by critics of attempting to leverage threats of decreased broadband deployment against regulators in order to force states to allow them to have a monopoly on high-speed Internet access.

In exchange for promising to run fiber lines straight to homes, for example, the FCC ruled that telecoms should not be forced to open their lines to competing companies. However, the companies have been pushing the limits of what “to homes” means since then, first asking to run fiber only to neighborhoods and then using copper wires to connect to homes, and then asking to run fiber only to the nearest node.

“By splicing in a little fiber, the Bells can squelch competition,” Earthlink vice president Dave Baker told USA Today. “There can be and should be competition in broadband services on new networks.

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Hentaied Founder Romero 'Mr. Alien' on Fetish, Fantasy and Finding Order in Chaos

A sharp sting pierces the woman’s skin. Something foreign slips beneath the surface. Eggs, maybe. She doesn’t know it yet, but soon her body will become a vessel, a hive, a source of contamination.

AEBN Publishes Popular Searches for July, August

AEBN has published the top search terms for the months of July and August from its straight and gay theaters in all 50 states and the District of Columbia.

The Guardian Devotes Feature Article to XBIZ Amsterdam

British newspaper The Guardian sent a reporter to cover XBIZ Amsterdam earlier this month, resulting in a lengthy article about the annual European adult industry conference.

Pineapple Support Taps Char Borley as Brand Ambassador

Pineapple Support has named Char Borley as its newest brand ambassador.

Michigan Legislators Propose Online Porn Ban

Michigan lawmakers have introduced a bill that would make it illegal to distribute pornography via the internet in the state.

Florida AG Sues Aylo, Segpay Over State AV Law

Florida Attorney General James Uthmeier filed lawsuits against Aylo and Segpay on Monday with the 12th Judicial Circuit Court of Florida for noncompliance with HB3, the state's age verification law.

Colombian Court Sides with Performer Esperanza Goméz Over IG Suspensions

Colombia’s Constitutional Court last week ruled in favor of adult performer Esperanza Gómez in her legal battle against Meta over repeated suspensions of her Instagram account.

Missouri AG Announces Age Verification Rule to Take Effect Nov. 30

Newly appointed Missouri Attorney General Catherine Hanaway announced Friday that the state's recently approved age verification regulation for adult websites will go into effect on Nov. 30.

Aylo, Woodhull Freedom Foundation to Tackle Online Censorship in Virtual Seminar

Aylo and Woodhull Freedom Foundation will co-host a virtual panel addressing online censorship on Sept. 30.

Severe Sex Films Relaunches Site Through YourPaysitePartner

Severe Sex Films has relaunched its official website through YourPaysitePartner (YPP).

Show More