So Not a Surprise

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FCC Chairman Ajit Pai is claiming that more disclosure can be a substitute for net neutrality, but his proposed changes gut disclosure.

Rule number one of Republicans is that they lie about everything.  Rule number 2 is, “See rule number 1.”

Hidden fees that show up on broadband bills after customers sign up for service have long been a source of frustration for Internet users.

Because advertised prices often don’t reflect the full cost of service, the Federal Communications Commission in 2015 forced ISPs to be more transparent with customers about hidden fees and the consequences of exceeding data caps. The new requirements were part of the net neutrality rules—and are therefore going to be eliminated when the FCC votes to repeal the rules next week.

While FCC Chairman Ajit Pai is proposing to keep some of the commission’s existing disclosure rules and to impose some new disclosure requirements, ISPs won’t have to tell consumers exactly what everything will cost when they sign up for service.

………

Here are the disclosures that ISPs currently have to make—but won’t have to after the repeal:

  • Price—the full monthly service charge. Any promotional rates should be clearly noted as such, specify the duration of the promotional period and the full monthly service charge the consumer will incur after the expiration of the promotional period.
  • Other Fees—all additional one time and/or recurring fees and/or surcharges the consumer may incur either to initiate, maintain, or discontinue service, including the name, definition, and cost of each additional fee. These may include modem rental fees, installation fees, service charges, and early termination fees, among others.
  • Data Caps and Allowances—any data caps or allowances that are a part of the plan the consumer is purchasing, as well as the consequences of exceeding the cap or allowance (e.g., additional charges, loss of service for the remainder of the billing cycle).

Pai’s proposed net neutrality repeal says those requirements and others adopted in 2015 are too onerous for ISPs.

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