Telcos scored a victory in federal court Friday upholding an earlier Federal Communications Commission ruling that will ease the path for companies like Verizon and AT&T (NYSE: T) to compete against cable in the pay TV arena, Reuters reported. The Sixth U.S. Circuit Court of Appeals in Cincinnati denied a petition by cable companies, including Comcast (NSDQ: CMCSA) and Time Warner (NYSE: TWX), asking judges to overturn the FCC regs that set time limits on local officials to approve or reject applications by companies offering subscription video services.
Under the FCC’s rules, companies that already have existing connections in a given city must have their request decided within 90 days; those that don’t have a presence in a locality must get their answer within 180 days. The FCC rules also prevent government officials from demanding that new applicants meet requirements unrelated to video services, such as building a new swimming pool in exchange for approval.
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