FCC Settles With T-Mobile for $48 Million Regarding Unlimited Data Transparency

T-Mobile HQ

Giving customers all the information they need, so they can make an informed decision, is important. That includes adequately informing customers of any restrictions.

The Federal Communications Commission (FCC) has announced today that it has reached a $48 million settlement with T-Mobile regarding unlimited data, and whether or not the Un-carrier disclosed restrictions to customers regarding speed and data, for those subscribing to an unlimited data plan.

The results of that investigation from the FCC revealed that T-Mobile, and its prepaid brand MetroPCS, failed to provide adequate information to customers pertaining to instances where the carrier de-prioritizes the top three percent of its heaviest data users, which can then result in slower data connections.

“Consumers should not have to guess whether so-called ‘unlimited’ data plans contain key restrictions, like speed constraints, data caps, and other material limitations,” said FCC Enforcement Bureau Chief Travis LeBlanc. “When broadband providers are accurate, honest and upfront in their ads and disclosures, consumers aren’t surprised and they get what they’ve paid for. With today’s settlement, T-Mobile has stepped up to the plate to ensure that its customers have the full information they need to decide whether ‘unlimited’ data plans are right for them.”

As a result of the settlement, T-Mobile will pay a total of $48 million. That includes $7.5 million in fees, and what will equal $35.5 million in “consumer benefits.” The results of the settlement also means that T-Mobile and MetroPCS customers will receive an extra 4GB of LTE data on their plan for one month, in the month of December. On top of that, T-Mobile customers can get 20% off any single accessory purchase at a participating carrier store.

John Legere, T-Mobile’s CEO, says the settlement is “good,” and also added that the carrier “believes more info is best for customers.”

[via FCC]