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AT&T Wants To Settle With FTC To Avoid Unlimited Data Throttling Lawsuit (arstechnica.com)

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 U.S. Supreme Court before a deadline of May 29," reports Ars Technica. "But today, AT&T informed (PDF) court officials that it has decided not to file a petition to the Supreme Court and did not ask for a deadline extension." From the report: 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's decision also means that traditional phone companies will have to face some net neutrality oversight from the FTC after the Federal Communications Commission finalizes its net neutrality repeal. 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.

"We have decided not to seek review by the Supreme Court, to focus instead on negotiating a fair resolution of the case with the Federal Trade Commission," AT&T said in a statement to Ars. 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.

35 comments

  1. MaBell lost one by p51d007 · · Score: 1

    At&t didn't "pony up" enough k-street money to win this one I guess.

    1. Re:MaBell lost one by Anonymous Coward · · Score: 0

      BeauHD is just angry that no one is ever going to his MFC channel. Hint, Beau, you're UGLY, and no one wants to see you jack yourself off!!!
       
      Get a real job, kiddo!

    2. Re:MaBell lost one by olsmeister · · Score: 5, Funny

      They offered unlimited money, but as it turned out it wasn't really unlimited.

  2. so there it is... by nimbius · · Score: 1

    The FTC is barred from regulating common carriers

    Congratulations. You've rolled back net neutrality and by acquiescing your fight with the FTC, have set a precedent for adhering to the letter of the law for throttling data. It might not help Americans who expect affordable, fast broadband service similar to what we see in the EU, but it at least prevents telecom companies from shoveling bullshit with impunity.

    there are other negatives to losing common carrier status that you arent factoring into the bottom line, but time is a great teacher. You're now open to direct lawsuits from angry moms who blame you for the sin of pornography, as well as media moguls who blame you for piracy.

    --
    Good people go to bed earlier.
    1. Re:so there it is... by rmdingler · · Score: 2

      I don't know...

      You can see how throttling your own advertised unlimited data delivery speed seems the polar opposite of net neutrality, right?

      --
      Happiness in intelligent people is the rarest thing I know.

      Ernest Hemingway

    2. Re:so there it is... by Anonymous Coward · · Score: 0

      > You're now open to direct lawsuits from angry moms

      Not with the recent ruling that lets companies force arbitration.

    3. Re:so there it is... by BronsCon · · Score: 1

      Dad pays the internet bill, Mom never agreed to arbitration.

      --
      APK quotes people (including myself) without context and should not be trusted. Just thought you should know.
    4. Re:so there it is... by Narcocide · · Score: 1

      I hope you are being paid to parrot that lie and don't actually believe it. If not, you should really do some math. Find out how much bandwidth and equipment actually costs for big companies like ISPs buying in bulk, and find out how bandwidth flows normally.

    5. Re:so there it is... by Anonymous Coward · · Score: 0

      Obama's NN rules were more about protecting existing monopolies than allowing competition. We spent $178k on legal fees to try to fight for being allowed to offer service in the Seattle area. We failed in being able to offer access to consumers. Fortunately our data center in Tukwila just south of Seattle in the same building as Digital Forest/Sabey makes enough so we didn't lose our jobs.

    6. Re:so there it is... by Anonymous Coward · · Score: 0

      I know damn well what peering costs since I'm the CTO of my ISP. The problem was with Obama's NN regulations that there's a huge fixed cost that meant nothing to Comcast, Wave, and CenturyLink that we compete with, but it was a huge cost per connection for us. Lawyers are not cheap.

    7. Re:so there it is... by greenwow · · Score: 1

      I don't think that was the purpose of those laws/regulations, but that was the effect. Small ISPs like the one I work for had to stop offering access due to the oppressive laws that were hard to interpret. I got no bonus two years ago since we paid every penny of profit to Perkins Coie law firm that represented Hillary Clinton. Marc Elias, general counsel for Hillary Clinton's and John Kerry's presidential campaigns, who was our previous lawyer used everything we paid him to support Hillary's campaign and didn't even offer us any advice.

    8. Re:so there it is... by PPH · · Score: 1

      prevents telecom companies from shoveling bullshit with impunity

      But shoveling bullshit falls under the authority of the Department of Agriculture. So back to court AT&T goes to beat down both the FTC and FCC.

      --
      Have gnu, will travel.
    9. Re:so there it is... by Anonymous Coward · · Score: 0

      More laws and regulations only protect the big guys. Those things are a barrier to entry for newcomers like the company I work for.

    10. Re:so there it is... by Anonymous Coward · · Score: 0

      > protecting existing monopolies

      Complicated Federal rules are always about that.

    11. Re: so there it is... by stroxor · · Score: 1

      You are right but not right-wink wink nudge nudge

    12. Re: so there it is... by Anonymous Coward · · Score: 0

      Can you explain how nn prevented you from starting an isp? I can't see how treating the same types of data the same way and no 0 rating prevented anything...

      Sounds more like a big isp move, blocking competitors

    13. Re:so there it is... by Anonymous Coward · · Score: 0

      Mom has no standing then, no contract

    14. Re:so there it is... by Anonymous Coward · · Score: 0

      Nope, AT&T is strongly opposed to net neutrality, because among other things it limits their ability to use their market share to block competitors.

      If you believe that AT&T supports net neutrality then why have they been fighting so hard against it for all these years?

    15. Re:so there it is... by BronsCon · · Score: 1

      So you have no standing to press charges against someone who robs you unless you have a contract with them beforehand? If Mom feels that Comcast has damaged her little baby with porn, she has standing now that they're no longer a common carrier; contract or no.

      --
      APK quotes people (including myself) without context and should not be trusted. Just thought you should know.
  3. Just fucking nationalize AT&T already by PopeRatzo · · Score: 5, Insightful

    They didn't learn their lesson back in the '80s, and now here they are pulling shit again.

    The only way to deal with corporations is for the government to stand on their necks until they behave. In the absence of serious and unrelenting regulation, corporations will always, always try to fuck everyone. They'd throw a baby into a wood chipper for a 5-cent increase in stock price. Thomas Jefferson knew this. James Madison knew this.

    We'll have to wait until some semblance of sanity has been restored to Congress, but AT&T should really be broken up again, and it should be the opening salvo in a number of corporate breakups.

    --
    You are welcome on my lawn.
    1. Re:Just fucking nationalize AT&T already by AHuxley · · Score: 0

      Re "They didn't learn their lesson back in the '80s"? That would help how?
      USA wide gov networks to every wealthy and poor home?
      Who is going to pay to connect every poor home in the USA with a new network at cost? Such fast new networks will never be paid back by the poor users using low cost plans for decades.
      Make the US tax payer cover all network construction costs into all poor inner city areas?
      Then have US tax payers keep network costs down so poor people can enjoy fast internet?
      How many billions of $ does it take for some construction in just a few larger US cities just to keep exisiting telco networks connected?
      Who is going to pay for all this tech, new networks and for the cost to nationalize networks?
      New networks follow areas of the USA with wealthy people able to pay back the costs of network investment.
      Should the USA want to "nationalize" networks that would need a lot of tax payers to start paying a lot more tax.
      Make all networks in the USA a coop? A network that allows any ISP on to sell plans? Invest all that profit back into the network?
      Poor people don't pay for new networks in their part of a city.
      Who keeps paying for the network costs in poor parts of the larger US cities?
      Tax payers would have to pay for networks for decades all over the USA?
      Find a good location. Trench work. Select a type of fast new network. Get the network ready to connect. Connect the network to a room in a dwelling.
      Try and sell ISP plans to people who cannot pay for ISP plans.
      Pay to cover the costs of rodents and damage for generations?
      What type of network should this "nationalize the USA" networks project use?
      Use light? Coax? Wireline? Wireless? Have US taxpayers buy up spectrum in every US city?
      Take out a new loan with interest to get fast ISP plans all the poor parts of the USA and pay it back with what poor people pay to use the ISP?
      Thats going to need a big loan and someone to cover the loan repayments.

      --
      Domestic spying is now "Benign Information Gathering"
    2. Re:Just fucking nationalize AT&T already by PopeRatzo · · Score: 1

      Who is going to pay for all this tech, new networks and for the cost to nationalize networks?

      The same people who pay for it now: you and me.

      If you settle down for a second and give it a moment's thought, you'll understand just how poorly-informed your questions really are.

      --
      You are welcome on my lawn.
    3. Re:Just fucking nationalize AT&T already by AHuxley · · Score: 1

      So poor people all over the USA don't get a brand new network to their dwelling under a "nationalize" the USA project?
      Existing networks are taken from their owners/shareholders as part of a plan to "nationalize" the US telco sector?
      Who is going to keep their wealth and invest in the USA if the US gov can just "nationalize" any part of the tech sector it wants for any party political reason?
      Who is going to pay to care for this network that got taken as part of an effort to "nationalize" the US telco sector?
      The staff now have to work for the USA gov at a wage set by the USA gov?
      Can they form a union and demand better pay from the US government?
      The users in poor parts of the USA are too pppr to pay for ISP plans to cover the network costs.
      So how are the costs of this gov telco network going to be covered?
      What other sector of the US is going to get this "nationalize" effort?
      How much more tax payers money will have to be found to cover the "nationalize" the USA experiment costs?
      What could expanding existing networks to every USA dwelling cost?
      How much for a new network to every poor US dwelling?
      What type of network do poor parts of the USA get for free from the US tax payer? Wireless? Something new using bandwidth of light into every dwelling?
      How much free broadband bandwidth for every dwelling to make a really good "nationalize" the USA project?
      Whats the lowest ISP plan cost a "nationalize" the USA telco project would sell into poor communities? What speed now for poor people? What speed to upgrade to in a decade?
      How much will that cost US tax payers again?

      --
      Domestic spying is now "Benign Information Gathering"
    4. Re:Just fucking nationalize AT&T already by ausekilis · · Score: 1

      The problem is Congress won't regain sanity. They are the ones that get lobbied to make the laws then retire into C-level positions at those same companies. Unless by some miracle we start voting in people that actually listen to the public, expect no change.

    5. Re:Just fucking nationalize AT&T already by drinkypoo · · Score: 1

      So poor people all over the USA don't get a brand new network to their dwelling under a "nationalize" the USA project?
      Existing networks are taken from their owners/shareholders as part of a plan to "nationalize" the US telco sector?

      Just to be clear, we have paid the telcos Billions (with a "B") to build out the last mile and deliver broadband to every POTS customer. They have not done this, instead giving the money out to executives as bonuses.

      Who is going to keep their wealth and invest in the USA if the US gov can just "nationalize" any part of the tech sector it wants for any party political reason?

      The government can do this to anything it wants, any time it wants, if it decides it's in its best interest, because of the various blank checks written into the constitution. The Supremes merely have to put their blessing on it. The easiest excuse is for purposes of national defense.

      What other sector of the US is going to get this "nationalize" effort?
      How much more tax payers money will have to be found to cover the "nationalize" the USA experiment costs?

      Internet access is a basic utility, and the USA actually has a long record of great success with municipal utilities. Municipal water systems have long provided excellent ROI, with some obvious notable exceptions like Flint. In the USA, private utilities have committed numerous crimes which have actually killed people, time and again in fact, so Flint hardly stands alone in that regard.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    6. Re:Just fucking nationalize AT&T already by Gr8Apes · · Score: 1

      How much will that cost US tax payers again?

      Well, let's see, subtract something like $20B a year from AT&Ts profits, and I think you have your answer.... $0 more.

      --
      The cesspool just got a check and balance.
    7. Re:Just fucking nationalize AT&T already by AHuxley · · Score: 1

      $20B a year would get how much new work done in a few larger US cities?

      --
      Domestic spying is now "Benign Information Gathering"
    8. Re:Just fucking nationalize AT&T already by Gr8Apes · · Score: 1

      Well, let's see, it was $100B a year for 5 years to get us supposedly 100Mbps plus broadband in the 90s, but the telecoms just inflated their profits instead. So, given that there's at least 4 major ISPs with those types of profits, perhaps we could get it rolled out nationwide in 5 or 6 years? Granted, we won't be able to hire that many contractors to lay cable, but given that kind of cash, we could certainly start upgrading huge segments of the population.

      --
      The cesspool just got a check and balance.
  4. Ah yes, refunds by quonset · · Score: 2

    Customers should expect to receive something in the area of .50 cents by the time it's all said and done.

    That'll show AT&T.

  5. Good by Anonymous Coward · · Score: 0

    AT&T should pay out the nose for bait and switch.

  6. What do you want? by stroxor · · Score: 1

    We in czech republic have to pay 40 us bux to have 10 gb of data and unlimited calls+smz. Thats bullsh!t

  7. Not unless you can do the same to China... by Anonymous Coward · · Score: 0

    Keep in mind we're playing in the globalist big leagues now and if your company doesn't span a nation, if not multiple nations, it isn't even a piece on the table at this point.

    Unless America starts requiring reciprocation clauses in regards to corporate ownership/financial investment by foreign nations (ie to deal with china's 51 percent pro-Chinese ownership requirements), America is only going to circle the drain faster with a bunch of large corporate breakups without equivalents being done to their international competitors.

    The days of single nation corporations which can be easily influenced by a single government are long past.

    1. Re:Not unless you can do the same to China... by PopeRatzo · · Score: 1

      Keep in mind we're playing in the globalist big leagues now and if your company doesn't span a nation, if not multiple nations, it isn't even a piece on the table at this point.

      Unless America starts requiring reciprocation clauses in regards to corporate ownership/financial investment by foreign nations (ie to deal with china's 51 percent pro-Chinese ownership requirements), America is only going to circle the drain faster with a bunch of large corporate breakups without equivalents being done to their international competitors.

      The days of single nation corporations which can be easily influenced by a single government are long past.

      That is so much horseshit.

      --
      You are welcome on my lawn.
  8. What do you mean by "now"? by sbrown123 · · Score: 1

    This fight has been going on for years. All AT&T has been able to do is make it drag out.