Buffalo, N.Y. (WBEN) - Internet service providers looking to attract customers are now required to disclose all pertinent information. It's similar to what you see on food packages regarding nutrition.
The FCC is now requiring internet providers to give customers answers to questions they may have to make an informed decision on which way to go. "What is the monthly price? How much bandwidth is included in that? Is it an introductory rate? Do you need a contract?," says Mark Murphy of Greenlight Networks. He believes this came about because of the number of offers that have been put forward in the market by a number of the different competitors. He believes the goal is to give customers clarity.
Murphy says price arguably is a big factor in determining whether a customer chooses to go with one internet provider over the rest. "It allows customers to make a choice for themselves in terms of if they find those things offensive, or they find them troubling that maybe they don't want to call up and threaten to cancel to get a better rate, or maybe they just want to have the peace of mind knowing that every single day, what they're paying for, is what they're going to get," says Murphy.
He adds the labels are easy to understand. "The top line really explains how many megabits or gigabits are in the plan that the customer is buying, whether it's a text or a wireless service, what the price is, does it require an introductory rate or a contract, and then it specifies what other options might be available," says Murphy. On the bottom, he says there's a disclosure the companies have to provide in terms of what the typical download and upload speeds are, as well as latency. He says that could be a critical decision for gamers.
Murphy says competition fundamentally always challenges providers to be better at what they do, and this new label requirement will be helpful in highlighting each company's best qualities.
