AT&T hits back, Challenges the $100 Million FCC Fine claiming Compliance with Open Internet Order

AT&T hits back, Challenges the $100 Million FCC Fine claiming Compliance with Open Internet Order

AT&T dismisses accusations of misleading customers over its unlimited data plans and thus intends to ‘vigorously dispute’ the $100 million proposed fine by Federal Communications Commission (FCC) which has charged AT&T with flouting the Open Internet Order of 2010.

AT&T has been accused by FCC of providing an erroneous plan where the subscribers were duped by labelling the plans as unlimited but then the speed of data transmission was slowed after a certain amount of data was used in a monthly cycle.

However, AT&T claims compliance with the transparency rule of the 2010 Open Internet Order of FCC, asserting that its network management policy for handling unlimited data subscribers was clearly stated and the subscribers were sufficiently informed of the maximum speed they would receive.

AT&T, the second largest mobile carrier in US further stressed that FCC was aware of the policy of providing “more bandwidth to subscribers that have used the network less over some preceding period of time than to heavier users as a solution to reducing congestion”.

AT&T spokesperson defended in an email that the FCC has specifically identified this practice as a legitimate and reasonable way to manage network resources for the benefit of all customers, and it has been used before by major carriers.

Tom Wheeler, FCC Chairman affirmed strict action stating that the consumers deserve to get what they pay for and so the FCC will not stand idly by while consumers are deceived by misleading marketing materials and insufficient disclosure.

AT&T now has 30 days to respond to the FCC proposition, following which FCC will issue the final order.

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