AT&T hit with $100M fine for its ‘unlimited’ data plans

AT&T
FILE - In this May 14, 2014 file photo, an AT&T logo on a store in Dedham, Mass. AT&T Mobility LLC has been hit with a $100 million fine for offering consumers “unlimited” data, but then slowing their Internet speeds after they hit a certain amount. The Federal Communications Commission (FCC), which regulates the telecommunications industry, says the company misled consumers with the plans. Officials say the company would slow speeds dramatically at times, to levels lower than advertised. (AP Photo/Steven Senne, File)

WASHINGTON (AP) — AT&T Mobility LLC has been hit with a $100 million fine for offering consumers “unlimited” data, but then slowing their Internet speeds after they hit a certain amount.

The Federal Communications Commission, which regulates the telecommunications industry, says the company misled consumers with the plans. Officials say the company would slow speeds dramatically at times, to levels lower than advertised.

AT&T said in a statement that it will “vigorously dispute” the allegations. The company says it has been upfront with consumers and that the FCC had “known for years” that major carriers slow data as a reasonable way to manage their networks.

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