IntelScoops

Colombo, July 31, 2025 — Despite widespread advertising of “unlimited data” internet packages in Sri Lanka, many consumers are discovering that these plans come with significant limitations, raising concerns about transparency and consumer rights.

In theory, an unlimited data plan should allow users to browse, stream, download, and work online without restrictions. However, most major Internet Service Providers (ISPs) in Sri Lanka include a Fair Usage Policy (FUP) in the fine print of their contracts. Under this policy, customers are subject to predefined daily or monthly data thresholds. Once the user crosses these thresholds, internet speeds are dramatically throttled — in some cases to levels insufficient for video streaming, file transfers, or even stable browsing.

For instance, a package advertised as “unlimited” may include a 50 GB monthly high-speed cap. Beyond that, users may experience speeds as low as 512 Kbps. These speed reductions are often not clearly communicated at the time of subscription.

“The issue is not that there are limits — it’s that the term ‘unlimited’ is being used misleadingly,” said a digital rights advocate in Colombo. “Most users aren’t aware of these throttling mechanisms until their speed drops without warning.”

While Fair Usage Policies are standard in many countries to manage network congestion, consumer advocacy groups argue that transparency is essential. “If there’s a cap, then it’s not truly unlimited,” one expert noted. “ISPs must label these plans accurately — for example, ‘50GB high-speed + reduced speed after limit’ — to avoid confusion.”

In contrast, truly unlimited data packages, where no throttling occurs regardless of usage, are rare and often significantly more expensive.

Calls are growing for the Telecommunications Regulatory Commission of Sri Lanka (TRCSL) to enforce stricter labeling standards and compel ISPs to clearly disclose all terms of service — especially those that materially affect consumer experience.

Until then, consumers are advised to read the fine print, inquire about FUP thresholds before signing up, and hold ISPs accountable for misleading advertising.