Tech activists and consumers can claim victory in the fight over unlocking cell phones, as the FCC and top wireless companies reached an agreement in the long war to make the practice legal again.
The Obama administration first announced it would take steps to ease restrictions on unlocking cell phones after more than 114,000 people signed a petition last year calling on the White House to make cell phone unlocking legal. But the White House is taking their pledge a step further, with Gene Sperling, assistant to the President for Economic Policy and Director of the National Economic Council, announcing Friday the Federal Communications Commission has come to an agreement with wireless carriers to make cell phone unlocking easier.
“Today, with the support of FCC Chairman Tom Wheeler, the nation’s largest wireless carriers announced they will abide by a new series of voluntary “unlocking principles” to help bring some relief to consumers in the next few months,” Sperling wrote in a White House blog post.
With the support of the CTIA, the lobbying group for major wireless carriers, companies including AT&T, Verizon Wireless, Sprint, T-Mobile and U.S. Cellular have agreed to adopt a a set of six principles for voluntarily unlocking cell phones and tablets.
The principles include:
1. Disclosure: Each carrier will post on its website its clear, concise, and readily accessible policy on postpaid and prepaid mobile wireless device unlocking.
2. Postpaid Unlocking Policy: Carriers, upon request, will unlock mobile wireless device or provide the necessary information to unlock their devices for their customers and former customers in good standing and individual owners of eligible devices after the fulfillment of the applicable postpaid service contract, device financing plan or payment of an applicable early termination fee.
3. Prepaid Unlocking Policy: Carriers, upon request, will unlock prepaid mobile wireless devices no later than one year after initial activation, consistent with reasonable time, payment or usage requirement.
4. Notice: Carriers that lock devices will clearly notify customers that their devices are eligible for unlocking at the time when their devices are eligible for unlocking or automatically unlock devices remotely when devices are eligible for unlocking, without additional fee. Carriers reserve the right to charge non-customers/non-former-customers a reasonable fee for unlocking requests. Notice to prepaid customers may occur at point of sale, at the time of eligibility, or through a clear and concise statement of the policy on the carrier’s website.
5. Response Time: Within two business days after receiving a request, carriers will unlock eligible mobile wireless devices or initiate a request to the OEM to unlock the eligible device, or provide an explanation of why the device does not qualify for unlocking, or why the carrier reasonably needs additional time to process the request.
6. Deployed Personnel Unlocking Policy: Carriers will unlock mobile wireless devices for deployed military personnel who are customers in good standing upon provision of deployment papers.
Wireless carriers have agreed to implement three of the six principles within three months, with the remaining three being enacted within the next 12 months.
“Today’s announcement is an important step forward for consumers. First and foremost, the voluntary agreement will help to ensure carriers unlock phones in a manner that is reliable, transparent, and timely,” Sperling wrote about the agreement. “We also understand this commitment by the wireless carriers will allow our deployed military personnel to have their phones unlocked before heading abroad, an admirable service for our troops.”
The issue of unlocking cell phones was first brought to light in October 2012 after the Librarian of Congress decided to make unlocking cell phones illegal. Conservatives, tech activists and digital freedom groups joined forces to protest the Librarian’s decision, operating under the mantra, “You bought it, you should own it.”
Though it was legal for consumers to unlock their devices — typically at the end of a contract so they could transfer networks — major wireless carriers have been fighting for it to be prohibited for years.
But the deal between phone companies and the FCC represents a win — albeit a small one — for consumers.
“The FCC and carriers are doing their part. Now it is time for Congress to step up and finish the job by passing the Unlocking Consumer Choice and Wireless Competition Act, which was voted out of the House Judiciary Committee this summer, and its companion in the Senate,” Sperling wrote. “We know this is an important issue to many of you. The Administration will continue to watch it closely in the coming months.”
