Verizon Wireless to Pay Millions in Refunds (USA)

Verizon Wireless, the biggest US cellco, will return around US$90 million in mobile data fees wrongly charged to customers.

According to the company, it would pay refunds to 15 million customers of US$2 to US$6 for mistaken past data charges.

The massive refund possibly the biggest ever by any telecoms company followed series of critical stories by US media and a probe by the FCC.

According to reports, the operator may also face a fine from the FCC for failing to notify customers of the problem, which has been occurring since at least 2007. In the last three years, the FCC had received hundreds of complaints from Verizon Wireless customers for web access charges when their phones were not in use or when they mistakenly hit a phone key that activated the browser.

If reports are to be believed, Verizon told the regulator last December that it did not charge customers who had inadvertently started their phone’s web browser.

As per Verizon, it had discovered that over the past several years approximately 15 million customers who did not have data plans were billed for data sessions on their phones that they did not initiate. Most of the data sessions involved minor data exchanges caused by software built into their phones; others included accessing certain web links, which should not have incurred charges

USA subscribers surprised by unexpected fees- FCC

www.WirelessFederation.com/news: According to a survey released by the Federal Communications Commission as part of a drive to extract clearer information from wireless carriers, unexpected monthly fees is faced by one in six U.S. mobile-phone customers. It has also been revealed that almost half of consumers subscribing to plans with fees for dropping service before the end of a contract didn’t know the amount they would be charged.

FCC Chairman Julius Genachowski opined that there is still more that can be done to help customers navigate what is sometimes a confusing marketplace and consumers would be helped by simple and easy to understand purchase and billing procedures. Rules similar to the ones applied in Europe might be faced by the telecom operators like Verizon Wireless, AT&T Inc in the USA.

As per the research, out of the 30 million Americans who were surprised by their bills, 88 percent weren’t contacted by their carriers when charges increased and 84 percent weren’t contacted when they were about to exceed their allowed minutes, text messages, or data downloads.  Only 36 percent of mobile-phone customers who are familiar with their bills believed that they include very clear information on early termination fees. More than a third of people surprised by a bill felt that the charges jumped by at least $50 and 23 percent said the increase was $100 or more.

According to Steve Largent, president of the Washington based CTIA , The Wireless Association, it seems the commission is going to attempt to micromanage what is an incredible array of choices for consumers and asserted that the wireless industry does provide simple and easy to understand plans for every type of American consumer.

3,005 adults were included in the telephonic survey that extended from April 19 to May 2 and for responses based on those with personal cell phones, or about 80 percent of respondents, the margin of error was plus or minus two percentage points.

AT&T, Verizon unhappy with Harbinger (USA)

www.WirelessFederation.com/news: The two big carriers of USA namely, Verizon and AT&T have expressed their anger about the restrictions placed on them by Harbinger Capital Partners LP. LP has planned to deploy an LTE wholesale network in the US using satellite spectrum.

Restrictions have been imposed on the ability of the operators to rent capacity on the $6 billion network. AT&T has been complaining to the Federal Communications Commission (FCC) and describing the deal as “targeted favoritism.”

FCC to auction wireless spectrum in the USA

www.WirelessFederation.com/news A plan has been announced by the Federal Communication Commission as per which US mobile network operators will be able to bid for a prized segment of wireless spectrum for commercial use.
The auction is scheduled to take place early next year.

It has also been proposed by FCC that $12bn to $16bn will be set aside by the Congress over 10 years.

This will help support building a nationwide broadband wireless network for use by public safety workers.

Nexus One ETF lowered to $150

www.WirelessFederation.com/news: Early termination fee for the Nexus One smartphone has been lowered by Google from $350 to $150. Equipment recovery fee of $350 for those who cancel their T-Mobile contracts within the first 120 days has also been instituted by Google.

However, lower fee of $150 is still in addition to the standard early termination fee of $200 charged by T-Mobile for those who cancel their contracts early.

FCC recently questioned Google, T-Mobile and the other major wireless network operators about their ETF policies.

FCC grants spectrum license to TerreStar

www.WirelessFederation.com/news: TerreStar Networks Inc, a subsidiary of TerreStar Corp has been granted a license by FCC to integrate terrestrial use of its 20 Mhz S Band spectrum into its next-generation mobile wireless network.

Through this approval, TerreStar would be enabled to improve coverage, network capacity and throughput in its combined mobile satellite and terrestrial communications network, which offer cell phone voice and data service access in North America.