AT&T says it did nothing wrong when it comes to throttling customer phone data, but will pay $60 million nonetheless because of whatever.
AT&T Mobility, LLC will pay $60 million as part of a settlement with the Federal Trade Commission (FTC) after allegations that the company misled millions of consumers with its “unlimited” data plans.
The FTC filed a complaint against the company in 2014, alleging that the company did not tell consumers that if they reached a certain data threshold, AT&T would lower data speeds, according to the commission’s release. The commission argued that this effort began in 2011 for users who utilized as little as 2 gigabytes of data. This policy has affected 3.5 million consumers as of October 2014.
“As detailed in the Commission’s complaint, AT&T wanted the rewards without the risks, so it turned its offer of an ‘unlimited’ data plan into a bait-and-switch scam that victimized millions of Americans,” Commissioner Rohit Chopra wrote in a statement.
The commission said the company cannot make any public claims about speed or data without releasing information on their restrictions as part of the settlement. The release stated the disclosures are required to be “prominent, not buried in fine print or hidden behind hyperlinks.”
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