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FCC grants Verizon extra time to explain its hiked termination fees

Thu, Dec 17, 2009

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By Tim Conneally, Betanews

Early in December, the Federal Communications Commission sent an inquiry to network provider Verizon, asking why the company doubled its Early Termination Fees in November and whether customers were properly notified and informed. Additionally, the Commission addressed the controversial $1.99 mobile Web connection fee, some claim is a dishonest method of obtaining service charges from customers for their accidental keystrokes.

Verizon's response was originally due at the end of today's business day, but the carrier asked for more time. Today, the FCC granted Verizon three more days to finish its response, and on Monday we will find out the answers to some rather blunt questions from the FCC.

One of the most important questions concerns Verizon's justification of the increased fees. Verizon has made statements to the press that "advanced devices" have made the increase in fees necessary. The commission asked the rationale behind this, the cost differentials between what Verizon spends on these devices versus what it charges the customer, and how the levels of the termination fees relate to the cost differentials of "advanced devices."

Copyright Betanews, Inc. 2009

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This post was written by:

Tim Conneally - who has written 791 posts on Computer | TechBlogPlus.


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