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Wireless Carriers Accused of Antitrust Violations
phoneboy writes "From Wireless Consumers Alliance: A class-action lawsuit was filed on April 5 in the U.S. District Court for the Southern District of New York on behalf of wireless consumers seeking to end the control of the handset market by wireless carriers. Read the Antitrust Complaint. While the complaint is fairly short and easy to understand, a summary is in order: The carriers basically dictate required features to handset manufacturers. Phones are tied to specific carriers and cannot be moved between carriers. Carriers refuse to allow handsets on their network they didn't approve. Handset manufacturers thus cannot sell handsets that aren't approved by carriers because carriers will not allow them to be used. All of this rises costs for the consumer, making it difficult and more expensive to switch carriers, and unfairly restrains trade for both handsets and cellular services. As someone who recently tried subscribing to AT&T's new GSM service with an unlocked GSM phone (they didn't allow me to "activate" the service unless I bought one of their phones), I'll be watching this case very closely."
In Europe, with the GSM system there, you usually ahve two options.
1) An open GSM phone. You can use this anywhere, on any network. Either roaming, or with a sim card from that network.
2) A branded phone, where it is locked to a certain carrier. So you can't just take any sim card and use it, you have to use that network.
With #2, they usually sell the phone cheaper, because you are stuck with their network. Which makes sense.
But.. a carrier will not refuse service or differentiate at all as to what phone you use.
I work for a wireless billing software company. About Item (B)... the FCC is requiring cellular companies to make their numbers "portable" in the near future (more on that later). In other words, you will be able to keep your current wireless phone number, bringing it to another competing wireless provider, provided that it's in the same market.
The problem is, every time the FCC has set a deadline for this to happen, all the big wireless companies whine a lot, petition the FCC because implementing the switch/billing software/etc upgrades would be "too difficult" (i.e. costly), and the deadline gets postponed. As it stands now, it was supposed to already have happened over two years ago, and the latest deadline in late November is probably going to be pushed out another six months (if it hasn't been already). The net result is that it really sucks to be the consumer, 'cuz folks like you have to face decisions like the one you're faced with now.
Thanks for your answer. I took a look at some of the wireless rumor sites, and they suggest that VoiceStream's policy is to give out the SIM unlock code to customers who have been in good standing for at least three months. If you call customer service, you should ask for the "Advanced activations" department. The other way is to send e-mail to -simunlock- at -voicestream- dot -com- (I like this company enough to spam-protect their address!). It's supposed to take about a week. I just sent an e-mail request; we'll see what happens!