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Title II Net Neutrality Ruling Causes Carrier Stocks To Pop

For months, last-mile Internet carriers like AT&T (T), Verizon (VZ) and Comcast (CMCSA) (CMCSK) have been railing against "Title II" rules and "net neutrality," saying that the Federal Communications Commission would kill their businesses if it adopted such rules.

Yesterday, FCC chair Tom Wheeler said the commission would do just that. Yet the stocks did not fall. They actually rose. Comcast rose over 2.5%.

The reason has to do with what reporters will call the "fine print" in Wheeler's statement on the matter, but what was actually in bold type.

Title II, the rules under which phone companies traded universal service for rate regulation for over a century, will be "modernized, Wheeler wrote for Wired. "There will be no rate regulation, no tariffs, no last-mile unbundling."

This means that if Comcast wants to charge a high price for its broadband service, because it's the only provider in an… Read More …