Cable TV Pricing Law Called 'Long Overdue,' With Consumer Groups Applauding
The "true fees" cable TV pricing rules adopted as part of the omnibus spending bill passed in December (see 1912190068) are "long overdue," with the cable industry frequently camouflaging rate hikes as hidden fees instead putting them into advertised rates,…
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CCG Consulting President Doug Dawson blogged Monday. He said more honesty about pricing could accelerate cord cutting even further. The legislation applies only to cable TV pricing, raising the risk that cable companies could try to shift hidden fees to their broadband or phone service, Dawson said. "I suspect the cable companies will somehow not come clean about bundling prices for cable TV, even with this new law," he said. Public Knowledge also applauded the legislation. Consumer Reports (CR), which championed the measure, told us its support for the legislation stemmed from its own finding that consumers can pay up to $450 a year in such fees. Along with the requirement that consumers are told the complete monthly price, including all fees and taxes, when signing up with cable service, consumers also get a 24-hour window to cancel service without penalty, CR said. NCTA and America's Communications Association didn't comment.