The Emergency Broadband Benefit, Verizon, and Upselling

The Washington Post recently reported that Verizon is telling low-income, Emergency Broadband Benefit Program participants that they can't stay on their “old” data plans, so they’ll have to switch. For home Internet, Verizon doesn't make the subsidy available at all on legacy DSL plans, which it offers in areas where it hasn't upgraded copper lines to fiber. Verizon apparently still has a few hundred thousand DSL customers. On Verizon fiber service, customers must buy a "FiOS Mix + Match Internet plan" to get the subsidy. The subsidy is also available on Verizon's 5G and LTE home Internet services. Verizon's Emergency Broadband Benefit page says that mobile customers can get the subsidy on "a Mix & Match Unlimited phone plan or a Mobile Hotspot as the main or only line on an account." Phone users who don't have a Mix & Match plan would have to switch to one to get the $50 discount. The Mix & Match Unlimited phone plans are for postpaid mobile customers, so it appears that prepaid phone customers cannot get the subsidy through Verizon. 

Verizon defended its implementation of the subsidy program, saying it has enrolled nearly 1,000 customers in less than a week. The company said, "As part of Verizon's offering, some eligible customers who were on older plans will need to transition to an EBB-eligible Mix & Match plan to take advantage of the EBB benefit. With these plans, the vast majority of customers save money on their monthly bill. For example, eligible customers could choose a Mix & Match plan offering 200Mbps download and upload Internet speeds for just $54.99, including a router and no additional fees. With the $50 EBB discount, that customer would pay just $5. Under the Mix & Match plan offerings, customers are seeing an average $25 per month savings when switching from an older plan. With the $50 monthly EBB savings, most customers can realize savings of about $75 each month depending on the services they choose to include." A Verizon spokesperson told the Washington Post, "There's really no story here. We're on the side of the customer and want to ensure they pay for what they need, and not for what they don't." Despite that claim, low-income customers on older Verizon plans must choose between getting the $50-per-month subsidies or keeping their current plan, even if that plan is cheaper and provides "what they need."