WASHINGTON, D.C.—The FCC’s requirement for broadband providers to list basic information on pricing, introductory offers, fees, speeds and other data in “nutritional” style labels went into effect on Wednesday, April 10.
FCC chairwoman Jessica Rosenworcel praised the implementation as the start of a new era in broadband price and service transparency that will require Broadband Consumer Labels to be displayed by internet service providers at the point of sale.
“Today is an exciting day for consumers. Broadband Nutrition Labels are finally here. Consumers across the country can now benefit from consistent, transparent, and accessible point-of-sale information about broadband prices and services,” said Rosenworcel. “These ‘nutrition label’ disclosures are designed to make it simpler for consumers to know what they are getting, hold providers to their promises, and benefit from greater competition—which means better service and prices for everyone.”.
The Broadband Consumer Labels resemble the well-known nutrition labels that appear on food products. To ensure the label benefits all consumers, the Commission adopted language and accessibility requirements for the label's display. Labels are required for all standalone home or fixed internet service or mobile broadband plans. Providers must display the label – not simply an icon or link to the label – in close proximity to an associated plan’s advertisement, the FCC said.
The FCC has argued that that the Broadband Consumer Labels will go a long way toward helping consumers make informed purchasing decisions when they are shopping for a broadband provider.
The requirement stems from 2021 legislation when Congress passed the Bipartisan Infrastructure Law directing the the FCC to require consumer-friendly labels with information about broadband services. In 2022, the FCC adopted rules requiring broadband providers to display, at the point of sale, labels displaying key information consumers want regarding prices, speeds, fees, data allowances, and other critical information.
By October 10, 2024, providers will be required to make the labels machine-readable to enable third parties to more easily collect and aggregate data for the purpose of creating comparison-shopping tools for consumers. At that time, providers with less than 100,000 subscribers must also comply with the rules.
