The Federal Trade Commission has come down on wireless carrier AT&T for allegedly misleading “millions” of smartphone users with their “unlimited” data plans.
In a complaint filed in a federal court on Tuesday, the FTC alleged that AT&T has been misleading its own subscribers “by charging them for ‘unlimited’ data plans while reducing their data speeds, in some cases by nearly 90 percent.”
The FTC alleges that AT&T didn’t do enough to inform customers that their “unlimited” data plans would be throttled down to lower speeds if they exceeded a certain data limit. The Commission charges that AT&T should have done more to let consumers know that “unlimited” means you won’t face overage charges for exceeding a set data limit, not that you get unlimited 4G LTE data every month.
“AT&T promised its customers ‘unlimited’ data, and in many instances, it has failed to deliver on that promise,” said FTC Chairwoman Edith Ramirez. “The issue here is simple: ‘unlimited’ means unlimited.”
The FTC’s full press release regarding the complaint can be read in full here.