The FCC, on Thursday, approved new regulations mandating that cable and satellite TV companies must prominently show their complete prices, in line with the Biden administration’s push to eliminate excessive fees.
As per the new regulations, providers must incorporate the total price of video programming and any extra programming-related charges in their promotional materials and invoices.
FCC Chair Jessica Rosenworcel stated, “Nobody likes unexpected charges on their bill. The price advertised for a service should be the exact amount you pay. It shouldn't encompass various surprise fees that are separate from the main price you were informed of at signup.”
She also added, “It's not just irritating; it hinders consumers from comparing services in a rapidly changing market with numerous new viewing options.”
The agency reports that 24 to 33 percent of cable and satellite TV bills are made up of extra fees, such as “Broadcast TV Fees,” “Regional Sports Surcharges,” and “HD Technology Fees.”
Rosenworcel remarked, “In essence, we don't need unnecessary fees. We can have bills that are clear and fair. This is a step in that direction and it's positive for consumers.”
However, NCTA, a trade group representing cable programmers and providers, contended that providers already furnish accurate pricing details, including comprehensive pricing information, to subscribers.
NCTA expressed in a statement on Thursday, “Today’s misguided action will not benefit consumers and will only introduce confusion due to government-mandated advertising requirements.”
It further stated, “The FCC’s close control of advertising in today’s hyper-competitive marketplace will compel operators to either clutter their ads with perplexing disclosures or omit pricing information completely. For consumers, it's a lose-lose situation.”
