Basically it seems that the state of New York is under the belief that these companies could be charging customers who bought packages for a certain speed, but at the same time aren’t delivering those promised speeds. According to New York Attorney General Eric Schneiderman, “New Yorkers deserve the Internet speeds they pay for. But, it turns out, many of us may be paying for one thing, and getting another.”
To be more specific, the issue here seems to be over interconnection agreements that these companies have had with other networks for the exchange of data, in which the higher speeds promised to customers might be disrupted due to tech issues or business disputes over these interconnection agreements, ultimately leading to consumers not getting the speeds they had paid for.
Unsurprisingly the companies named in the investigation, save for Verizon, were adamant that nothing fishy was going on, but we suppose we’ll just have to wait and see how the investigation pans out.