FCC Considers Inquiry into Impact of Internet Data Caps on Consumers

The Federal Communications Commission (FCC) is considering an inquiry into the impact of internet data caps on consumers, according to a document spotted by Ars Technica.

FCC Chairwoman Jessica Rosenworcel has expressed her intention to initiate a formal Notice of Inquiry, aiming to understand how data caps implemented by broadband providers affect consumers and competition in the industry.

Notice of Inquiry to Data Caps

Data caps, also known as usage limits, are commonly used by internet service providers (ISPs) to restrict the amount of bandwidth or data consumers can use.

However, many ISPs temporarily or permanently suspended data caps in response to the COVID-19 pandemic. The FCC is now interested in examining the current state of data caps and their implications for consumers and the broadband market.

The goal is to determine whether regulatory action is necessary to prevent harm to competition and consumers' access to broadband services.

To gather relevant information, the FCC has launched a portal where consumers can share their experiences with data caps on their fixed or wireless broadband networks.

By submitting their stories at fcc.gov/datacapstories, consumers can contribute valuable insights into how data caps impact different individuals, including those with disabilities, low-income consumers, and historically disadvantaged communities.

The FCC aims to assess the impact of data caps on crucial aspects such as access to online education, telehealth, and remote work.

Chairwoman Rosenworcel emphasized the increasing importance of internet access, stating that it has transitioned from being a luxury to a necessity for everyone, everywhere.

She highlighted the need to evaluate the impact of data caps on consumers and competition, focusing on the practical aspect of accessing the internet rather than the amount of data required for specific tasks.

Fresh Look at Data Caps

The FCC intends to take a fresh look at data caps and their implications for consumers' internet experience and market competition.

The proposed Notice of Inquiry by the FCC includes several key objectives. It seeks public input to better understand the persistence of data caps despite increasing consumer broadband needs and the technical feasibility of offering unlimited data plans.

The FCC also aims to gather insights on current trends in consumer data usage and the effects of data caps on both consumers and competition.

Additionally, the inquiry will explore how consumers are informed about data caps in service offerings and examine the FCC's legal authority to address this issue.

"When we need access to the internet, we aren't thinking about how much data it takes to complete a task, we just know it needs to get done. It's time the FCC take a fresh look at how data caps impact consumers and competition," said Chairwoman Rosenworcel