FTC Comes Down on Mobile Providers for Broken Promises of ‘Unlimited Service’

Jan 29, 2015 att, cell phones, ftc, 0 Comments


The Federal Trade Commission ruled that prepaid mobile phone service provider TracFone would have to pay $40 million for throttling down the speeds of customers who paid for unlimited data service Wednesday.

“The issue here is simple: When you promise consumers ‘unlimited,’ that means unlimited,” said the director of the FTC’s Bureau of Consumer Protection, Jessica Rich, in a statement Wednesday.

While the case was specific to TracFone, several other carriers who have been “throttling” the speeds of customers are put on notice.

AT&T and Verizon stopped offering unlimited data plans to new customers, although, many grandfathered customers still have those plans.


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David Gonos has been writing online for over a decade, and he has been published on websites like CBSSports.com, FOXSports.com, MLB.com, NFL.com and SI.com. He discusses fantasy sports, television, beer, traveling, music, movies and food on his own website, when he's not at his day job, working as the content manager for DigitalLanding.com.

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