The nearly eight-year battle to get the FCC to force internet companies to display information about the cost, pricing and speed of broadband service appears to finally be over. Starting Wednesday, all but the smallest ISPs will be required to publish broadband “nutrition labels” on all plans, the FCC announced. The FCC created the labels to make it easier for consumers to compare plans and avoid hidden fees.
You’ll notice labels like these the next time you shop for a standalone home or fixed internet plan, or a new mobile broadband plan. Each label contains your monthly broadband fee, introductory fee details, data allowance, broadband speeds, and a link to see available discounts and service bundles. It should also include links to how your network is managed and your privacy policy. The labels should be visible both online and in-store.
Most of the information on the label is publicly available, but it takes time and research for the average consumer to find out. Until now, the broadband industry has published advertised speeds for broadband plans that misrepresent the actual connection speeds available to most customers. The new labels should curtail this practice. ISPs will be required to publish the “typical” download and upload speeds for each plan.
Large broadband providers have fought hard for years to repeal the rule, arguing that such labels are too costly and complicated to implement. Some consumer advocacy groups have criticized the FCC for not addressing the deeper problem of local broadband monopolies. Many Americans, especially those living in rural and economically disadvantaged areas, have only one or two choices for broadband providers. Adding to the sense of urgency is the expiration at the end of this month of a program that gives low-income Americans extra money to buy broadband internet plans.
With one or no competitors, local ISPs have little incentive to lower prices or improve speeds. Dozens of cities are trying to address the problem on their own by building their own municipal broadband networks, but of course the telecom industry is doing all it can to fight back.
So far, Verizon, Google Fiber, and T-Mobile have rolled out their labels ahead of the deadline. The official FCC compliance deadline (for large ISPs) is April 10th, but smaller ISPs (those with fewer than 100,000 lines) have until October 10th to implement nutrition labeling.
