Internet providers are rolling out broadband “nutrition labels” for consumers

Starting Wednesday, internet service providers (ISPs) will try to make it easier for consumers to understand monthly internet bills. The Federal Communications Commission now requires providers to provide notices similar to nutrition labels that break down what they get and how much each part of their internet service costs.

However, the content of the labels will not be calories or grams of sugar and fat. Instead, broadband customers can view information such as the monthly price, discounts and packages, the Internet speed range for plans, the amount of data included each month, network management and privacy policies, customer support contacts, and any additional fees and terms, including early termination and late termination fees.

The new labels will provide 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 the typical download, upload, and latency speeds useful. Others, who may be more focused on price, look at the top of the label for the cost of the monthly price and the additional fees for a particular service plan.

The largest ISPs are required to display these labels to consumers before they purchase a service plan online or in a store. According to an FCC fact sheet, the information is required for any standalone home or landline Internet service, as well as mobile broadband plans.

The price breakdown on the label can be used for comparison purposes. In a video message accompanying the announcement released Wednesday morning, President Biden called the move an attempt to eliminate so-called junk fees.

“Folks, my administration is taking a big step toward eliminating junk fees on internet bills,” Mr. Biden said in a video message on his POTUS social media accounts. “The FCC requires internet providers to tell you exactly what you are paying and what you are getting when you purchase your internet plan – all in one simple label,” President Biden said.

The new label follows an October 2023 FCC rule that requires ISPs with more than 100,000 subscribers to display the label at the time of purchase. ISPs with 100,000 or fewer customers have until October 10 to display the label to customers.

Until then, providers must also make the consumer label machine-readable so that third parties can better compile Internet service plan data so consumers can compare plans.

Some internet providers have already passed the FCC's deadline and are already using the labels.

“To support consumer choice, competition and innovation, we want to make it easy for you to quickly understand what's included in all of our broadband plans,” Verizon now says on its website.

Google Fiber, an Alphabet subsidiary that offers high-speed internet plans in select markets, was the first company to unveil its label for consumers.