On Thursday, the FCC unanimously approved the proposal, which would create new rules requiring broadband providers to offer labels disclosing an internet plan's pricing, data allowances, and throttling practices, as well as information on introductory prices and future price hikes.

The aim of the proposal is to increase transparency for consumers and boost competition in the marketplace.

"Access to accurate, simple-to-understand information about broadband internet access services helps consumers make informed choices and is central to a well-functioning marketplace that encourages competition, innovation, low prices, and high-quality service," the FCC wrote in a press release.

The proposal is one part of the FCC's plan to act on an executive order signed by President Joe Biden in July 2021. That order required the FCC to implement new regulations aimed at increasing consumer choice and bolstering broadband service quality.