Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on the day's biggest business stories

Subscribe to Axios Closer for insights into the day’s business news and trends and why they matter

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Stay on top of the latest market trends

Subscribe to Axios Markets for the latest market trends and economic insights. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sports news worthy of your time

Binge on the stats and stories that drive the sports world with Axios Sports. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tech news worthy of your time

Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Get the inside stories

Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Denver news?

Get a daily digest of the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Des Moines news?

Get a daily digest of the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Twin Cities news?

Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Tampa Bay news?

Get a daily digest of the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Charlotte news?

Get a daily digest of the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Photo: Mike Segar-Pool/Getty Images

Trade groups representing AT&T, Verizon and other telecom companies are opening fire on a new law requiring them to provide discounted internet service to low-income households in New York.

Why it matters: New York's first-in-the-nation law could be adopted by other states at a time when the White House has signaled it wants to reduce broadband prices for all Americans.

Driving the news: Trade associations USTelecom, CTIA, the New York State Telecommunications Association and others representing smaller companies filed a lawsuit Friday against New York's new law requiring providers in the state to offer broadband service for $15 a month to low-income households.

  • New York estimates that 7 million people in 2.7 million households will qualify for the discounted service.

What they're saying: The trade groups say the state doesn't have the authority to mandate broadband prices, and warn it could undermine companies' ability to invest and upgrade their networks.

  • “While well-intended, this bill is preempted by federal law and ignores the $50 monthly broadband discount recently enacted by Congress, as well as the many unprecedented commitments, donations and accommodations that broadband providers have made for low-income consumers since the pandemic began," the coalition of broadband groups said in a statement.
  • "We urge state policymakers to coordinate with their federal counterparts, and with the broadband industry, to better serve the needs of New Yorkers.”

The other side: New York Gov. Andrew Cuomo told the trade groups to "bring it on" in a statement in response to the lawsuit.

  • "This is nothing more than a transparent attempt by billion-dollar corporations putting profit ahead of creating a more fair and just society," Cuomo said in the statement.
  • "If these companies want to pick this fight, impede the ability of millions of New Yorkers to access this essential service and prevent them from participating in our economic recovery, I say bring it on."

Between the lines: Many of the large providers already have low-income service options, but they offer them on their own terms.

Meanwhile, Congress created a $3.2 billion program to help low income households pay for internet during the pandemic, with the $50 a month subsidy program set to launch in May.

  • According to the lawsuit, more than 50 providers in New York intend to participate in the subsidy program, known as the Emergency Broadband Benefit.

What's next: There's a fear from providers that other states could adopt the New York law.

  • "The states have seen in the last four years the federal government do almost nothing to get people online," Gigi Sohn, a former FCC adviser told Axios. "They’re stepping in and stepping up. I don’t think this is going to be the last state that does this."

Editor's note: This story has been updated to include a statement from the New York governor and additional detail from the lawsuit.

Go deeper

CDC says fully vaccinated people don't have to wear masks indoors

CDC Director Rochelle Walensky. Photo: Erin Clark-Pool/Getty Images

The CDC announced in new guidance Thursday that anyone who is fully vaccinated can participate in indoor and outdoor activities without wearing a mask or physically distancing, regardless of crowd size.

What they're saying: "If you are fully vaccinated, you are protected, and you can start doing the things that you stopped doing because of the pandemic," CDC Director Rochelle Walensky will say at a White House press briefing.

Colonial Pipeline reportedly paid hackers nearly $5 million in ransom

Photo: Logan Cyrus/AFP via Getty Images

Colonial Pipeline paid hackers linked to the DarkSide cybercrime group nearly $5 million in cryptocurrency after last week's ransomware attack, Bloomberg first reported and the New York Times confirmed.

Why it matters: The breach of the largest refined fuels pipeline in the U.S. triggered new concerns about the vulnerability of the country's increasingly digitized energy systems.

Biden warns gas stations not to price gouge: "That's not who we are"

Photo: Drew Angerer/Getty Images

President Biden on Thursday warned gas companies to not price gouge amid major shortages following the Colonial Pipeline cyberattack.

The big picture: Biden added that the FBI does not believe the Russian government is behind the attack, but they do know that those responsible "are living in Russia."