NCTA Backs 180-Day Automatic Mobile Device Unlocking
The proposal clashes with Rosenworcel's proposed 60-day unlocking plan.
Jericho Casper
WASHINGTON, Sept. 23, 2024 – FCC Chairwoman Jessica Rosenworcel wants to unlock mobile phones within 60 days of activation. But a major cable broadband association says that her plan does not provide mobile carriers sufficient time to cope with bad actors.
In reply comments filed Monday, NCTA – The Internet & Television Association argued that Rosenworcel’s timeframe would give fraudsters an advantage, as mobile carriers need more time to identify fraudulent activity patterns. NCTA proposed a 180-day unlocking rule, coupled with a fraud exception allowing providers to decline unlocking when fraud is reasonably suspected.
NCTA represents Comcast and Charter Communications, both of which provide mobile service utilizing Verizon's network. Comcast ended the second quarter with 7.2 million mobile customers and Charter with 8.8 million.
The FCC proposed in July requiring mobile service providers to unlock customers’ mobile phones within 60 days of activation, as part of an effort to create a more uniform policy across the wireless industry.
In prior comments on unlocking policies, Verizon, AT&T, and Comcast raised alarms about significant financial losses stemming from fraudulent activities.
In its comments, Comcast noted that these losses continue to worsen, driven by a growing global market for trafficked handsets originating in the U.S. Comcast explained that identifying fraudulent behavior often required several months of monitoring for signs such as missed payments or non-usage, further supporting a longer 180-day locking period.
Verizon echoed these concerns in comments, stating that despite efforts to combat fraud, bad actors have developed increasingly sophisticated techniques, leading to losses amounting to hundreds of millions of dollars annually.
Similarly, AT&T in its prior FCC comments cited four high-profile handset trafficking cases that resulted in over $358 million in company losses.
In addition to fraud concerns, T-Mobile and AT&T invoked the "major questions doctrine," challenging the FCC’s authority to impose unlocking requirements without explicit authorization from Congress. T-Mobile further argued that the 60-day period was insufficient to assess fraud risks, calling on the FCC to adopt 180 days instead.
