The exact cost of TV service may need to be disclosed by cable and satellite companies

Are you sick of watching TV providers advertise one price while actually charging another due to extra fees? It’s possible that you won’t have to put up with that behaviour for much longer. The Federal Communications Commission (FCC) has proposed a rule that would force cable and satellite TV operators to “clearly and prominently” reflect the exact cost of service on subscriber bills as well as in their marketing. Companies couldn’t hide programming costs behind ambiguous or possibly deceptive terminology or pass them off as fees that only appear on your bill.

The goal of the proposal is to assist prospective consumers in making well-informed decisions about TV subscriptions, including assessments of streaming services. According to FCC head Jessica Rosenworcel, the action might also increase provider competition and aid financially disadvantaged families in avoiding unpleasant shocks.

The proposal was made a few months after President Biden urged government organisations to combat “junk fees” and demand more open pricing for goods and services. Recently, the FCC declared that it would want broadband “nutrition labels” that list costs and expected performance. In this regard, the endeavour to make TV prices transparent is primarily an extension that may specify the whole cost of a multi-service bill.

The timing of the proposition is not ideal for traditional TV titans. The number of Americans watching live and on-demand streaming TV surpassed cable for the first time last summer. Although internet-only services aren’t always more affordable than their cable and satellite counterparts, the enhanced transparency may stop traditional businesses from exaggerating the differences.