Shopping for Broadband: Failed Federal Policy Creates Murky Marketplace
In a large number of communities across the United States, shopping for Internet access is really challenging. It can be hard for someone to identify exactly what it is they will be getting when they order any given service, as well as how much they will pay for it. Significant information gaps, as well as inconsistently presented information, make it difficult for people to navigate the Internet service market. In recent years, groups like Consumer Reports and New America have called attention to these problems and pushed for the explicit disclosure of service details like download speed, upload speed, monthly service cost, and other information that helps potential subscribers compare providers. The broadband market is opaque in many regards, as detailed by the Federal Trade Commission in an October 2021 report outlining a series of concerns with the privacy practice disclosures of six undisclosed major Internet service providers (ISPs). The fact is that there’s a lot of information large ISPs aren’t telling their customers, despite half-hearted attempts by the Federal Communications Commission to bring transparency to the market. Our analysis finds that while a number of Internet access providers fail altogether to meet transparency requirements, others violate the spirit of transparency—to empower customers with information—by burying important service details in fine print. In early November, 2021, Congress passed the Infrastructure Investment and Jobs Act (H.R.3684), a $1.2 trillion infrastructure package which includes additional information disclosure requirements for ISPs. To underscore the value of these requirements and the need for their proper enforcement, the Institute for Local Self-Reliance is publishing a scorecard that highlights how many ISPs make it difficult for their potential customers to make informed decisions when attempting to sign up for Internet service. This analysis assesses the top ten private fixed wireless, private fiber, cable, municipal, and cooperative1
Shopping for Broadband: Failed Federal Policy Creates Murky Marketplace