Verizon Gets a Tiny Fine from FCC for Secretly Tracking Subscribers with No Opt Out

dgstorm

Editor in Chief
Staff member
Premium Member
Joined
Dec 30, 2010
Messages
10,991
Reaction score
3,961
Location
Austin, TX
vzw-vs-fcc.jpg

Verizon is infamous for being a little bit draconian in some of their customer policies over the years. Most of the time, Big Red offers good value for customers, especially considering the high quality of their network. Despite that, sometimes they aren't too consumer friendly in their attempts to find new revenue sources. From extraneous extra fees to pushing customers off of unlimited data plans, their a multiple ways that Verizon has angered their customers over the years.

One example of that can be found in their aggressive advertising data mining practices. In fact, Verizon just lost a recent case with the FCC over an old issue in which the company was tracking its subscribers data habits secretly and without an option to opt out. This was back in 2014, and Sherlock Holmes might call it "the case of the inedible super-cookies."

Basically, Verizon's super-cookies tracked every unencrypted website customers visited with their Verizon network mobile device. Furthermore, it was not initially disclosed to customers, and didn't have an opt-out option (at first). Eventually this special tracking cookie was found by hackers and Verizon was called out. The case went to the FCC, and, even though Verizon has since improved their super-cookie policies, it still resulted in a fine against Verizon.

Of course, the fine turned out to be not even the equivalent of a slap on the wrist. The fine was a meager $1.35 million, which is a drop in the bucket compared to the $34 billion in revenue, and $5.5 billion in profit that Verizon made in their fourth quarter alone. Despite the paltry fine, at least the FCC's process has forced Verizon to clean up their act.

One other good thing will become of this. Apparently the FCC will be announcing later this month that they have worked new consumer protection policies to specifically address this type of anti-consumer behavior.

Source: NYTimes
 

Powarun

Member
Joined
Feb 18, 2015
Messages
96
Reaction score
24
Current Phone Model
HTC One M8
I wish that whatever the FCC fine is, they have to rebate all their customers an equitable amount. My thought is a fine is no big deal, people read it, seemed horrified, then move on. The rebate to the customers would make customers think oh wow a rebate, I wonder why this was. I don't like the fine system because its a slap for screwing the customers with no help to their customers.
 

cr6

Super Moderator
Staff member
Joined
Apr 1, 2011
Messages
8,281
Reaction score
5,802
Location
NW Rocky Mtn region
Website
www.dronewolfmedia.com
Current Phone Model
Galaxy S7 Edge
Twitter
@dronewolfmedia
....carry the 6, subtract 2, yeah....that'll equal out to roughly 13 cents per customer.

S5 tap'n
 

Powarun

Member
Joined
Feb 18, 2015
Messages
96
Reaction score
24
Current Phone Model
HTC One M8
Even that much would make Verizon regret it. I don't think they mind fines as much as giving customers money back.
 

kinfolk248

Active Member
Joined
May 11, 2010
Messages
993
Reaction score
105
Location
Jackson, Ms
Fines mine nothing because it get written ae a write off AND us/customers are the ones who actually pay it because it just gets passed on, that bill/fine doesn't stop with vzw...
 

pc747

Regular Member
Rescue Squad
Joined
Dec 23, 2009
Messages
25,489
Reaction score
6,865
....carry the 6, subtract 2, yeah....that'll equal out to roughly 13 cents per customer.

S5 tap'n

So in other words expect some random price increase to people's bill of about 13 cents to cover the costs.
 
  • Like
Reactions: cr6

Mustang02

Diamond Member
Joined
Aug 8, 2010
Messages
7,531
Reaction score
5,017
Location
Ohio
Current Phone Model
Nexus 6P/5X
New "regulatory fee" that brings them $2 billion a quarter.
 
Top