Oliver Johnson
Starting Wednesday, Internet service providers (ISPs) will try to make it easier for consumers to understand what’s in their monthly Internet bills. The Federal Communications Commission now requires providers to provide nutrition label-like warnings that detail what they’re getting and how much individual parts of their Internet service cost.
The content on the labels will not be calories or grams of sugar and fat. Instead, broadband consumers will be able to see information including monthly price, discounts and packages, Internet speed range for plans, amount of data included each month, network management and privacy policies, customer support contacts, as well as any additional charges and terms. , including early termination and late fees.
Provided by the FCC
The new labels will give consumers a way to more quickly compare plans based on price and internet speed. For example, someone looking for a high-speed connection for online gaming would find typical download, upload, and latency speeds useful. Others who may be more focused on price would look at the top of the sticker for the monthly price tag and additional charges for a specific service plan.
Larger ISPs will have to display these labels to consumers before purchasing a service plan online or in a store. The information is required for any standalone home or landline Internet service, as well as mobile broadband plans, according to an FCC fact sheet.
Price breakdowns on the label may be used for price comparison purposes. In a video message about the announcement released Wednesday morning, President Biden referred to the measure as an effort to eliminate so-called junk fees.
“Everyone, my administration is taking a big step toward eliminating unwanted fees on internet bills,” Biden said in a video message on his POTUS social media accounts. “The FCC requires Internet providers to tell you exactly what you’re paying, exactly what you’re getting, when you purchase your Internet plan, all on one label,” said President Biden.
The new seal originates in October 2023 FCC rule requiring ISPs with more than 100,000 subscribers to display the sticker at the time of purchase. ISPs with 100,000 or fewer customers have until October 10 to display the label to customers.
By then, providers will also be required to make the consumer label machine-readable, which will allow third parties to better compile data about Internet service plans so consumers can compare plans.
Some internet providers have already anticipated the FCC deadline and are already using the labels.
“Verizon supports the goal of the FCC’s broadband labels to help ensure consumers have all the facts before choosing a home Internet provider, which is why we chose to release the labels last month, ahead of the deadline federal April 10,” a Verizon spokesperson told CBS News.
Google Fiber, an Alphabet subsidiary that offers high-speed internet plans in selected markets, was the first to reveal your label to consumers.
