The fight over net neutrality was once a heated issue in the US, pitting internet providers against big tech companies such as Google and Netflix.
Comedian John Oliver famously urged his audience to express support for the rules, leading to a deluge of comments that crashed the government’s site.
But the issue has faded in prominence since the rules were repealed in 2018.
Thursday’s ruling does not affect state-level net neutrality laws, which in some places offer similar protections.
But advocates, like Mr Oliver, have said that national rules are important to preventing internet providers from having powers to throttle certain content or charge more for speedy delivery of their service.
Public Knowledge, a progressive-leaning internet policy group, said the decision had weakened the FCC’s power to shape privacy protections, implement public safety measures and take other action.
It said it believed the court had erred in ruling that internet service providers were simply offering an “information service” rather than acting as telecommunications companies.
“The court has created a dangerous regulatory gap that leaves consumers vulnerable and gives broadband providers unchecked power over Americans’ internet access,” it said.
But USTelecom, an industry group whose members include AT&T and Verizon, said the decision was “a victory for American consumers that will lead to more investment, innovation, and competition in the dynamic digital marketplace.”
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