AT&T wants to settle with FTC to avoid unlimited data throttling lawsuit

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AT&T has given up its years-long quest to cripple the Federal Trade Commission's authority to regulate broadband providers. Just weeks ago, AT&T said it intended to appeal its loss in the case to the US Supreme Court before a deadline of May 29. But May 31, AT&T informed court officials that it has decided not to file a petition to the Supreme Court and did not ask for a deadline extension.

AT&T had been trying to limit the FTC's authority since October 2014, when the FTC sued AT&T for promising unlimited data to wireless customers and then throttling their speeds by as much as 90 percent. With AT&T having ruled out a Supreme Court appeal, the FTC can finally pursue its case against AT&T and try to secure refunds for affected customers. AT&T said it will try to settle the case with the FTC instead of going to trial. AT&T's decision might indicate that it is already having settlement talks with the agency.

AT&T's decision also means that traditional phone companies will have to face some network neutrality oversight from the FTC after the Federal Communications Commission finalizes its net neutrality repeal on June 11. The FTC is barred from regulating common carriers, and AT&T has long been a common carrier for its mobile voice and landline phone services. AT&T previously argued that the FTC can't regulate any product offered by AT&T, whether it is or isn't a common carrier service. Though ultimately unsuccessful, AT&T's attempt to deny the FTC's authority to regulate any aspect of its business has delayed the throttling case for years.


AT&T wants to settle with FTC to avoid unlimited data throttling lawsuit AT&T drops court challenge to FTC's authority (The Hill)