The FCC as expected moved ahead on a party-line 3-2 vote to implement what FCC Chairwoman Jessica Rosenworcel believes are new customer protections requiring all cable TV service providers and the nation’s two direct broadcast satellite companies to specify the “all-in” price “clearly and prominently” in their promotional materials and on every monthly billing statement.
To little surprise, pro-cable TV advocacy group ACA Connects was less than thrilled by the Democratic majority’s vote.
“MB Docket No. 23-203” was written to provide consumers access “to clear, easy-to-understand, and accurate information about the pricing of video services,” helping consumers in making informed choices. Rosenworcel and the FCC’s other Democrats, Anna Gómez and Geoffrey Starks, believe doing so encourages competition in the market. How? “It does so by empowering consumers with information to comparison shop and to find the video programming services that best meets their needs and matches their budget.”
Importantly, the FCC wanted to stop “unexpected fees related to the cost of video programming that raise the amount of the bill significantly.” And, these fees can be “taxes and surcharges,” which can raise a monthly billing statement by upward of $10 or more.
Despite Republican opposition, the Democratic majority pushed the Order through.
The proposal first emerged in March 2023. A NPRM came in in June 2023. And, to little surprise, the comment period saw pro-MVPD advocacy group ACA Connects conclude that the plan was more counterproductive than beneficial for consumers.
That tone hasn’t changed, as ACA Connects President/CEO Grant Spellmeyer said, “ACA Connects Members support providing easy-to-understand and transparent pricing for customers. However, this order fails to meet that goal because it does nothing to address a driving cause of sticker shock—broadcasters’ retransmission consent fees forced on cable providers and, ultimately, on their customers. Further, the heavy-handed requirements are more likely to confuse people than increase transparency and will create implementation challenges for providers.”
He continued, “With the Commission moving forward on this complex and counterproductive ‘all-in pricing’ order, we again urge it to address this root cause of hidden pricing with retransmission consent reform. This is the only way to bring true transparency to the system and make cable bills more affordable.”
