TL;DR

The FCC granted Verizon a waiver that removes the commission’s 60-day phone unlocking requirement for the carrier. Verizon will instead follow the CTIA’s looser code, unlocking postpaid devices after contract completion or payoff and prepaid handsets no later than one year after activation.

What happened

The Federal Communications Commission waived a long-standing rule that required Verizon to unlock phones within 60 days. Verizon had asked the agency for the change, arguing the shorter unlocking window enabled fraud and harmed its business; the carrier previously received faster-unlock conditions tied to its 2008 purchase of 700 MHz spectrum and had been allowed to impose a 60-day wait. Under the FCC waiver, Verizon must adopt the CTIA wireless trade group’s guidelines: unlock postpaid phones after the customer’s contract ends, when the device is paid off, or after payment of an early termination fee, and unlock prepaid phones no later than one year after activation. The FCC said the waiver will take effect at Verizon one day after the order is released and will stay in place until the commission establishes a broad industry policy for handset unlocking.

Why it matters

  • Consumers may face longer waits before they can switch carriers after activating a Verizon device.
  • Carriers gain flexibility to tie unlocking to contract fulfillment and device payoff, shifting control away from a fixed-time rule.
  • Verizon argued the 60-day rule enabled criminal activity and imposed sizable costs that could otherwise fund network investments or offers.
  • The FCC’s waiver leaves the door open for an industry-wide unlocking policy, creating regulatory uncertainty until that process concludes.

Key facts

  • The FCC granted Verizon a waiver of its 60-day phone unlocking requirement.
  • Verizon will follow the CTIA’s code of conduct on unlocking instead of the 60-day rule.
  • Under the CTIA guidance, postpaid phones should be unlocked after contract end, payoff of the device, or payment of an early termination fee.
  • The CTIA’s code says prepaid phones should be unlocked no later than one year after initial activation.
  • Verizon had previously been subject to faster-unlock requirements tied to its 2008 purchase of 700 MHz spectrum licenses.
  • The 60-day policy had been extended by Verizon to Tracfone following an acquisition, according to reporting in the source.
  • In its filing, the FCC said the prior rules cost Verizon hundreds of millions of dollars annually, a point cited as justification for the waiver.
  • The waiver becomes effective at Verizon one day after the FCC’s order is released and remains until the commission defines an industry-wide approach.

What to watch next

  • When and how the FCC will propose an industry-wide policy for handset unlocking (the commission said this decision is pending).
  • Whether customers experience longer delays when attempting to switch carriers after activation under Verizon’s new practice.
  • not confirmed in the source: Whether other carriers will request similar waivers or adopt the CTIA code in response.

Quick glossary

  • FCC: The Federal Communications Commission, the U.S. agency that regulates interstate and international communications by radio, television, wire, satellite and cable.
  • CTIA: A wireless industry trade association that publishes voluntary codes of conduct and best practices for mobile carriers and related companies.
  • Phone unlocking: The process of removing a carrier-imposed restriction so a mobile device can be used on other compatible networks.
  • Postpaid: A service arrangement where a customer is billed after using telecom services, often tied to a contract and monthly billing.
  • Prepaid: A service model where customers pay in advance for telecom service, typically without a long-term contract.

Reader FAQ

Will Verizon unlock my phone immediately now?
No — under the CTIA guidance Verizon will unlock postpaid phones after contract end, device payoff, or payment of an early termination fee; prepaid phones are to be unlocked no later than one year after activation.

When does the change take effect?
The FCC said the waiver takes effect at Verizon one day after the commission’s order is released.

Does this waiver apply to other carriers?
not confirmed in the source

Why did Verizon request the waiver?
Verizon said the 60-day unlocking requirement benefited fraudsters and imposed substantial costs, which the carrier argued justified the change.

Will the policy be permanent?
The FCC indicated the waiver will remain in place only until it decides on an industry-wide approach for handset unlocking.

NEWS POLICY TECH Verizon gets FCC permission to end 60-day phone unlocking rule The waiver will allow Verizon to unlock your phone after you finish paying it off, or following…

Sources

Related posts

By

Leave a Reply

Your email address will not be published. Required fields are marked *