5G Technology World

  • 5G Technology and Engineering
  • FAQs
  • Apps
  • Devices
  • IoT
  • RF
  • Radar
  • Wireless Design
  • Learn
    • 5G Videos
    • Ebooks
    • EE Training Days
    • FAQs
    • Learning Center
    • Tech Toolboxes
    • Webinars/Digital Events
  • Handbooks
    • 2024
    • 2023
    • 2022
    • 2021
  • Resources
    • Design Guide Library
    • EE World Digital Issues
    • Engineering Diversity & Inclusion
    • Engineering Training Days
    • LEAP Awards
  • Advertise
  • Subscribe

FCC to Hold Hearing on Early Termination Fees

By Staff Author | June 12, 2008

The FCC is scheduled to hold a hearing today regarding the fees wireless customers pay when they want out of their service contracts. Called early termination fees (ETFs), customers are typically charged $175 in order to break a contract. Service providers say the fees are necessary to recoup the subsidized price of handsets, while consumer groups have charged that the fees are unfair and anticompetitive.

The hearing today is expected to focus on an FCC proposal that would give customers a 30-day grace period after signing up for new service, in which they could end the contract with no penalty fee. The FCC also has proposed prorating contracts based on how long a customer has left on his or her contract.

Along with the proposed updates to the fee’s structure, the FCC is also suggesting that ETFs be regulated federally. Currently, states have some say over contracts and fees, though they can’t regulate services rates.

Frustrated by the various service fees, consumers in several states have launched class action suits against carriers, challenging early termination fees. If the FCC decides to federally regulate ETFs, carriers would be safe from such suits. FCC Chairman Kevin Martin has said he is in favor of federally regulating ETFs.

In a released statement, a representative for the National Association of Regulatory Utility Commissioners (NARUC) called on the commission to find a “cooperative Federal-State approach,” saying that it will “yield the optimal outcome that best serves both consumers and the public interest.”

Following the issue, the Associated Press uncovered e-mails from executives at a wireless provider showing that it did not charge the government the same fees it charges consumers, acknowledging that “the government will never, never accept such penalty amounts.”  The internal e-mails were from Nextel, now part of Sprint Nextel, and were part of a class action suit levied against the carrier in California.


Filed Under: Devices

 

Next Article

← Previous Article
Next Article →

Related Articles Read More >

High-directivity couplers optimized for 225 – 750 MHz applications
Integrated into IoT devices, iSIM poised to make inroads
Triple-radio and multiprotocol MCUs add application processors
5G vectors
How RedCap fits into 5G and IoT

Featured Contributions

  • Overcome Open RAN test and certification challenges
  • Wireless engineers need AI to build networks
  • Why AI chips need PCIe 7.0 IP interconnects
  • circuit board timing How timing and synchronization improve 5G spectrum efficiency
  • Wi-Fi 7 and 5G for FWA need testing
More Featured Contributions

EE TECH TOOLBOX

“ee
Tech Toolbox: Internet of Things
Explore practical strategies for minimizing attack surfaces, managing memory efficiently, and securing firmware. Download now to ensure your IoT implementations remain secure, efficient, and future-ready.

EE LEARNING CENTER

EE Learning Center
“5g
EXPAND YOUR KNOWLEDGE AND STAY CONNECTED
Get the latest info on technologies, tools and strategies for EE professionals.

Engineering Training Days

engineering
“bills
5G Technology World
  • Enews Signup
  • EE World Online
  • DesignFast
  • EDABoard Forums
  • Electro-Tech-Online Forums
  • Microcontroller Tips
  • Analogic Tips
  • Connector Tips
  • Engineer’s Garage
  • EV Engineering
  • Power Electronic Tips
  • Sensor Tips
  • Test and Measurement Tips
  • About Us
  • Contact Us
  • Advertise

Copyright © 2025 WTWH Media LLC. All Rights Reserved. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media
Privacy Policy

Search 5G Technology World