On July 22, the Federal Communications Commission (the “FCC”) approved a Report and Order (the “Order”) to simplify the requirements for the broadband consumer label (the “Label”) that all ISPs have been required to provider to consumers since 2024. The Order is meant to “refocus the rules on ensuring that consumers have the clear, accurate, and concise information about broadband plans” while reducing compliance burdens on providers. See below for a summary of the key updates.
- Passthrough fee simplification. Instead of itemizing each passthrough fee, providers may display either the maximum aggregate passthrough fees or the exact total of passthrough fees for the customer’s location. If a provider displays the maximum aggregate amount, it must also provide a breakout of the maximum amount of passthrough fees that recover (1) government-imposed costs and (2) non-governmental costs. The provider must then also identify the types of passthrough fees included in each category and provide a link to a webpage describing those fee types.
- Icons and hyperlinks. The Order clarifies that providers may display an icon or hyperlink that directly leads to the Label in the customer account portal and at the point of sale instead of displaying the full Label. At the point of sale, such an icon or hyperlink must be displayed prominently and in close proximity to the advertised plan and clearly indicate that it leads to the Label (or to a labels page where the Label for the specific plan is immediately identifiable and accessible).
- Description of Label over the phone. The Order eliminates the requirement that sales representatives read the Label verbatim to customers over the phone. Instead, sales representatives may describe the Label’s contents in a conversational manner provided that they summarize the following: monthly price inclusive of any monthly fees (including introductory rate and duration if applicable); typical download and upload speeds; latency; data allowance; contract duration (if applicable); and any early termination fees.
- Machine readability. The Order eliminates the requirement that providers make contents of Labels available separately in a machine-readable spreadsheet at a dedicated URL. The Order emphasizes that providers must still make labels accessible to consumers with disabilities, such as by ensuring compatibility with screen readers or other assistive technologies.
- Removal of Affordable Connectivity Program (“ACP”) information. The Order eliminates the requirement that Labels display information about the ACP, which ended June 1, 2024.
- Archiving. The Order eliminates the requirement that providers archive all labels for at least two years after a service plan is no longer available to new customers.
- Additional changes. The Order will remove the Label template from the Code of Federal Regulations and delegates authority to the FCC’s Consumer and Governmental Affairs Bureau (the “Bureau”) to make non-substantive changes to the layout and formatting of the Label. The Bureau will issue a Public Notice describing any non-substantive changes before they take effect. Additionally, the template will now be available at fcc.gov/broadbandlabels instead of fcc.gov/consumer.
Most of the substantive changes will become effective after the Office of Management and Budget completes its review and the Bureau issues a Public Notice announcing the effective date.