A federal appeals court in Washington slapped the Federal Communications Commission on Tuesday for overstepping its legal authority by trying to regulate Internet access. The FCC is now a two-time loser in court in its net-neutrality efforts. Has the government learned its lesson, or will the agency take a third stab at regulating the Internet? The answer to that question will affect the Internet's growth in the 21st century.

The FCC's quest to regulate the Internet began in 2010, when the commission first promulgated rules...