AT&T, Verizon Will Waive Wireless Overage Fees During Pandemic. But You'll Have To Ask.

AT&T, Verizon Will Waive Wireless Overage Fees During Pandemic. But You'll Have To Ask.

4 years ago
Anonymous $9CO2RSACsf

https://www.techdirt.com/articles/20200325/09535244169/att-verizon-will-waive-wireless-overage-fees-during-pandemic-youll-have-to-ask.shtml

Earlier this month, the biggest U.S. broadband providers announced they'd be dropping usage caps and overage fees during the pandemic in order to provide a little financial relief to home-bound Americans trying to slow the virus' spread. That's good, since telecom CEOs, engineers, and leaked documents have all made it clear caps and overage fees on fixed-line networks are little more than the price gouging of captive customers in uncompetitive U.S. broadband markets, and do absolutely nothing to help manage congestion in the age of intelligent networks that can prioritize or deprioritize entire traffic types on the fly.

It's slightly different on wireless where there's limited spectrum, but there too, researchers have noted that caps and usage fees aren't helpful to manage congestion. Not only are they like using a bulldozer to try and fix a watch, they open the door to abuse by companies that have long been eager to abuse such restrictions for anti-competitive gain. AT&T's already doing this by charging you overage fees if you use Netflix, but not if you use AT&T's own streaming services. Facebook has similarly been criticized for trying to use mobile caps and "zero rating" to corner the ad market in developing nations.