In this edition of the ICORE Blog we discuss recent events at the Supreme Court and the U.S. Congress thar are of importance to the telecommunications industry. Please note the following:
On March 25, 2026, the Supreme Court issued a 9-0 ruling in the case of Sony Music v Cox Communications, ruling in favor of Cox Communications. The case arose after Sony Music and other major copyright holders sued Cox Communications in 2018, claiming that Cox was responsible for illegal music downloads by its subscribers. A jury initially found Cox liable for contributory and vicarious infringement and awarded $1 billion in damages. On appeal, the Fourth Circuit partially upheld the verdict, focusing on contributory liability, reasoning that supplying a service with knowledge of infringement was sufficient foe liability. The Supreme Court, in its ruling, held that an Internet Service Provider (ISP) is only contributorily liable if it intended its service to be used for copyright infringement. The Court found that Cox neither induced copyright infringement nor tailored its service for illegal activity and mere knowledge that some users might infringe was insufficient to establish liability. The legal implications of this ruling are that ISPs are not copyright police and providers cannot be held liable solely for failing to disconnect users who infringe on copyrights and further that contributory liability requires intent. NTCA and USTelecom, who had filed amicus briefs in this case heralded the Court ruling stating that the ruling provides greater certainty to their members as they seek to deliver high-speed broadband throughout the country.
In an unrelated matter, on February 27, 2026, the FCC approved the Charter Communications acquisition of Cox Enterprises, Inc.’s residential cable, commercial fiber, and managed IT and cloud businesses.
On March 26, 2026, the House Subcommittee on Communications and Technology held a hearing on the Telecommunications Act of 1996. Representatives from the telecommunications industry and former FCC Commissioner Michael O’Reilly provided testimony. The focus of the hearing was on how Congress should ensure its communications policy framework reflects current technologies and also considers future, evolving technologies and the need for a light regulatory approach to ensure the U.S. maintains the lead globally regarding telecommunications, broadband, and AI.
On March 27, 2026, a slate of bipartisan bills were introduced in the House aimed at lowering costs in rural America and expanding access to reliable broadband. These bills would strengthen several U.S. Department of Agriculture (USDA) programs to better address high-speed broadband availability in rural communities. The Rural Utilities Service Modernization Act would streamline the permitting process for USDA’s Rural Utilities Service, which administers programs for rural utilities such as broadband, water, and electricity services. The Prioritizing Rural Broadband Affordability Act would require the Secretary of Agriculture to take broadband affordability into account when defining underserved households or service areas for grant awards. The Quality Broadband for Connected Communities Act would amend USDA’s Community Connect Program, which provides grants to bring broadband to rural communities with limited internet access by updating the program’s speed requirements. Finally, the Expanding Access to Distance Learning and Telemedicine Act would modernize the USDA’s Distance Learning and Telemedicine Grants Program by broadening eligibility to support telemedicine delivery, cybersecurity infrastructure, workforce development, and distance learning technologies for rural communities.
The Supreme Court ruling discussed above establishes that ISPs are not liable for the copyright violations of their users absent intent on the part of an ISP which is a logical conclusion and good news for ISPs. In addition, the discussion above indicates that telecommunications, and broadband availability continue to garner significant attention in Congress. As always, we will continue to follow these issues and will provide updates accordingly.
