Monday, 18 November 2019

AT&T to pay $60m for throttling its customers download speeds

By Chris Kelly, Total Telecom
Wednesday 06 November 19

The funds will be used to offer partial refunds to affected customers

US telco AT&T will pay $60 million as a settlement to The Federal Trade Commission (FTC) to end a suit which claimed it throttled the speeds of customers on unlimited data plans…

US telco AT&T will pay $60 million as a settlement to The Federal Trade Commission (FTC) to end a suit which claimed it throttled the speeds of customers on unlimited data plans.

The complaint, which was originally brought in 2014, claimed that AT&T reduced the download speeds of users, once they had passed a certain level of data usage.

As part of the settlement ruling, AT&T will also have to declare if it intends to use this strategy in future "unlimited data" packages it sells.

“Even though it has been years since we applied this network management tool in the way described by the FTC, we believe this is in the best interests of consumers,” AT&T told journalists from Reuters in an emailed statement.

A spokesperson for AT&T told Reuters that the settlement was not an admission of guilt but was merely in the best interest of AT&T's customers.

“None of these allegations were ever proved in court. We were fully prepared to defend ourselves, but decided settling was in the best interests of consumers,” said Jim Greer, a spokesman for AT&T.

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