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Verizon Wireless killing one-year contracts on April 17th, assumes you won't even care

Darren Murph — Fri, 08 Apr 2011 16:41:00 EST

Okay, so maybe you'll care, but you'll still opt for the two-year option once your contract is up. That's according -- more or less, anyway -- to a Verizon Wireless spokesperson, confirming to our inquiry this afternoon that the carrier's one-year contract option will be eliminated on April 17th. The reason, as you might expect, revolves around historical customer preference. That's a fancy way of saying that most customers prefer the stout hardware discounts that are available with a lengthier two-year agreement, and barring that, they can still choose month-to-month, prepaid or a rival. Not that VZW would encourage the latter, but hey -- America's about options, man.

Verizon Wireless killing one-year contracts on April 17th, assumes you won't even care originally appeared on Engadget on Fri, 08 Apr 2011 16:41:00 EST. Please see our terms for use of feeds.

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Verizon loses ETF class action lawsuit, ordered to pay $21 million

Tim Stevens — Fri, 02 Jul 2010 11:51:00 EST

Congratulations Verizon, you're the latest wireless provider to lose a class-action early termination fee-related lawsuit! It's a dispute that's been circulating in courts since 2008, and while the settlement was agreed upon quickly, there were a few lingering appeals that have taken this long to get cleared up -- and not in VZW's favor. The issue at hand was the company's $175 flat early termination fees, behavior that has proven legally naughty again and again when the same fee is levied regardless of whether you were one month or 20 months into your contract. Each customer named in the suit will receive approximately $87.50 for their troubles, a total of $21 million Verizon will have to pay out. That's a bit more than AT&T got hit with back in January, but a whole heck of a lot less than Sprint's massive $73 million fine.

Verizon loses ETF class action lawsuit, ordered to pay $21 million originally appeared on Engadget on Fri, 02 Jul 2010 11:51:00 EST. Please see our terms for use of feeds.

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Verizon's FiOS TV expands its contract free options

Ben Drawbaugh — Tue, 22 Jun 2010 23:26:00 EST

Any geek who can get FiOS, has FiOS; but there are plenty out there who live in a area with the all fiber service and don't subscribe. We're sure there are plenty of really lame reasons not to switch, but not wanting to sign a two-year commitment isn't one of them. For whatever reason most don't realize that Verizon's FiOS service has always offered contract-less service, but the catch was it came out a premium -- about $20 a month. Well Verizon has been trying out something new in Florida and has decided to expand it to the rest of its markets -- and even some that are moving to Frontier. The new deal is you get the same price as those who want to sign a contract, $99 for the triple play, but are only guaranteed that price won't go up for a year. If you want two years locked in at that price, then you can sign a contract, of which you'll have 30 days to change your mind before you're committed to a $350 pro-rated ETF. We'll leave you to the math, but if you're like us it isn't a matter of if you'll sign up, but instead of which plan you'll choose.

Continue reading Verizon's FiOS TV expands its contract free options

Verizon's FiOS TV expands its contract free options originally appeared on Engadget on Tue, 22 Jun 2010 23:26:00 EST. Please see our terms for use of feeds.

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EVO 4G launch day antics: Sprint's computers overwhelmed, Radio Shack listing CDMA iPhones?

Chris Ziegler — Fri, 04 Jun 2010 14:03:00 EST

You might imagine that we're getting a pretty wild variety of EVO 4G-related tips today, seeing how it's launch day and all -- but a couple really stood out for us:

Sprint's activation system is apparently buckling under the pressure, an issue that's giving us nightmarish flashbacks to iPhone launches of days gone by. We've even heard reports of poor shoppers being "turned away" when reps are stymied by the situation. A wildly successful product is both a blessing and curse, is it not?
One corporate store clerk says Sprint's system is now entirely down, and employees are being forced to write receipts by hand. "We have sold out (and pretty fast at that), but can't do anything at this point, not even a bill pay," he adds.
We've gotten multiple tips saying that Radio Shack now lists a $400 early termination fee in its contract for the iPhone on Verizon and Sprint. Our guess is that this is just some generic verbiage, not a sign of an impending CDMA launch, but you never know.
One tipster said his EVO came with a Samsung microSD card, rather than a SanDisk. We don't know what to make of that, as it was far too late for HTC to head off storage bugs at the pass.

Keep us updated with your launch day travails, folks!

[Thanks to everyone who sent these in]

EVO 4G launch day antics: Sprint's computers overwhelmed, Radio Shack listing CDMA iPhones? originally appeared on Engadget on Fri, 04 Jun 2010 14:03:00 EST. Please see our terms for use of feeds.

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Verizon, AT&T, Sprint, T-Mobile, and Google all respond to FCC's ETF inquiry

Chris Ziegler — Tue, 23 Feb 2010 19:30:00 EST

All of the players roped into the FCC's early termination fee inquiry -- T-Mobile, Sprint, AT&T, Verizon, and Google -- have met the Fed's February 23 deadline for responding, and needless to say, you could destroy a small forest with the amount of paperwork that's been sent back to Washington. The majority of the inquiry focused on carriers' ETF pricing structure and whether there are different ETFs involved based on the device a customer chooses, and the subtleties in the differences between answers from different carriers are pretty fascinating.

T-Mobile seems resolute that a single $200 ETF is the way to go and emphasizes that its customers can avoid the fee altogether by going with an Even More Plus plan, while Sprint says that it "continue[s] to evaluate the market" with regard to a multiple ETF setup. Google, meanwhile, is quick to note that it's just dropped its $350 Equipment Recovery Fee down to $150, though that amount still effectively represents the only device in T-Mobile's subsidized lineup that commands a grand total ETF greater than $200 upon cancellation -- but it gets even better later on when they get snippy for being lumped in with carriers on the inquiry and remind the FCC that the ERF reduction had been in the planning stages prior to the inquiry being issued. At any rate, they note that the ERF isn't intended as a revenue stream -- rather, it's a way to recoup the losses Google incurs when T-Mobile asks for its commission back if a customer cancels within 120 days (as you might imagine, T-Mobile conveniently fails to mention this point in its own reply).

Verizon -- which effectively triggered this whole mess by introducing its two-tier ETF -- basically echoes much of what it said in its last response, a surprising move considering the Commission's general displeasure with it, so it'll be interesting to see what kind of reaction it garners this time around. AT&T takes perhaps the most pragmatic approach through most of its response, answering the FCC's questions very matter-of-factly, but goes into a great deal of depth rationalizing early termination fees at the tail end and takes the opportunity to remind everyone that they've offered both commitment-free month-to-month and prepaid service for many years.

Something tells us this isn't the last we've heard on the subject, but for the time being, check out everyone's responses in the galleries below (more after the break).

[Thanks, Dan P.]

Gallery: Google's response to FCC's ETF inquiries

Gallery: Verizon's response to FCC's ETF inquiries

Continue reading Verizon, AT&T, Sprint, T-Mobile, and Google all respond to FCC's ETF inquiry

Verizon, AT&T, Sprint, T-Mobile, and Google all respond to FCC's ETF inquiry originally appeared on Engadget on Tue, 23 Feb 2010 19:30:00 EST. Please see our terms for use of feeds.

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Verizon whittles $350 ETF 'advanced device' list a bit, FCC pressure paying off?

Chris Ziegler — Tue, 19 Jan 2010 17:29:00 EST

There hasn't been any official announcement by Verizon -- nor any recent public chatter between the carrier and the FCC -- but for whatever reason, Big Read has gone ahead and smacked some ten devices off its premium "advanced device" list that it had used to determine whether a particular phone qualified for the gargantuan $350 early termination fee. On the surface, it would appear that these guys might be looking to appease the feds now that even Chairman Genachowski is getting in on the offensive, but the more plausible scenario is that they're looking to restrict it to smartphones and netbooks alone -- the ten phones removed were all featurephones, including the Motorola Krave, Samsung Rogue, and a host of LGs. For buyers of high-end dumbphones, it's great news -- but for anyone who prefers WinMo, Android, or a mythical, non-existent CDMA iPhone, the fight continues.

Verizon whittles $350 ETF 'advanced device' list a bit, FCC pressure paying off? originally appeared on Engadget on Tue, 19 Jan 2010 17:29:00 EST. Please see our terms for use of feeds.

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Verizon unveils new FiOS bundles with symmetrical 35Mbps pipes, heftier ETFs

Paul Miller — Mon, 18 Jan 2010 11:25:00 EST

As expected, Verizon is rolling out a new line of FiOS bundles for this perennially broadband-starved nation, and bumping up its early termination fees in the process. The traditional ETF for the installation-heavy service has been at $179, but now it's rocketing to as high as $360 to break from these fur-lined shackles. The new bundles of course don't skimp on the goodies, particularly with the 35Mbps up / 35Mbps down symmetrical service that should be a boon to HD video chats, big torrents and medium-sized torrents. For a limited time you can get into the "Prime" triple-play bundle (TV, internet, phone) for $90 a month, though that price will bump up to $110 a month after a year. Sweet enough to calm your fears about a $360 early cancellation penalty? Verizon sure seems to hope so -- no matter what sort of condescending looks the FCC shoots its way.

Verizon unveils new FiOS bundles with symmetrical 35Mbps pipes, heftier ETFs originally appeared on Engadget on Mon, 18 Jan 2010 11:25:00 EST. Please see our terms for use of feeds.

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Verizon to double ETFs on FiOS TV contracts

Ben Drawbaugh — Tue, 12 Jan 2010 02:40:00 EST

You might think that if only Verizon's FiOS service was available in your area, then life would be nearly perfect. And although FiOS offers some of the fastest internet in the US as well as some of the highest quality HD and a fantastic selection, it isn't all rosy over there. In fact the service has been riddled with billing issues since its launch in 2005 and in order to take advantage of some of the great promotional offers, you're forced to sign a two year contract. Up until January 16th 2010, that ETF has been $179, and according to DSL Reports on the 17th, that fee is set to go up to $360. That's not it though, as Verizon is expected to raise the price of services another $10 or $20 a month. You can of course avoid this by not signing a contract and going month to month, but of course this'll only work out saving you money if you end up canceling, and really if you had fiber to your home do you really think you'd cancel? Us either. Regardless, if you were thinking of switching to FiOS or taking advantage of a new promotion, we wouldn't waste any time getting it before the terms change next week. And as always be sure to read the fine print before signing anything.

Verizon to double ETFs on FiOS TV contracts originally appeared on Engadget on Tue, 12 Jan 2010 02:40:00 EST. Please see our terms for use of feeds.

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FCC chairman echoes commissioner's sentiments, says Verizon's ETF response 'raised more questions than it answered'

Chris Ziegler — Sat, 09 Jan 2010 02:03:00 EST

FCC chairman and general ass-kicker Julius Genachowski is siding with his commissioner Mignon Clyburn this week, noting that Verizon's response to the Fed over its $350 "advanced device" early termination fee didn't really satisfy everyone's curiosity. He's not ready to talk about the FCC's next move in the case -- we're guessing another lengthy open letter is in order -- but he assured media on hand that "the bureau is looking into" the situation. In the meantime, just don't get tired of that Droid too fast, alright?

FCC chairman echoes commissioner's sentiments, says Verizon's ETF response 'raised more questions than it answered' originally appeared on Engadget on Sat, 09 Jan 2010 02:03:00 EST. Please see our terms for use of feeds.

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Verizon to FCC: hey, you said ETFs were okay!

Chris Ziegler — Fri, 18 Dec 2009 15:50:00 EST

Even though the FCC just gave Verizon until Monday to respond to its inquiries regarding the company's new $350 "advanced device" early termination fee, they've shown some hustle here and delivered their 77 (yes, seventy-seven) page response today. Here are the two big takeaways consumers are going to care about:

The company justifies the advanced device ETF a couple ways; it starts out by referring to some 2003 statements by the FCC in which the Commission says that it doesn't support the concept of customers breaking contracts and that carriers have a right to recoup those fees. Of course, that really doesn't drive to the point here, which is that Verizon's now charging two completely different ETFs based on a rather arbitrary line in the sand drawn by Verizon; to that end, the carrier says that the additional cost it incurs to procure the devices on its advanced list is greater than the difference between the two ETFs ($175) on average. It also says that it needs that extra guaranteed revenue to keep its broadband network up to snuff, since advanced devices are more likely to strain it.
Regarding the weirdness at the end of the contract -- where a customer still owes $120 23 months into a two-year deal -- Verizon says that it's still losing money (read: we should be thankful they're prorating at all). As an example, it says that its average loss for a customer canceling 12 months into a contract is about double the $230 prorated ETF on an advanced device, and that statistically speaking, customers are far more likely to cancel early on than late. While we don't doubt that, we think they're trying to divert the conversation here just a bit.

It's hard to say whether these responses are going to sate the FCC on the matter, but seeing how Verizon's showing no signs that it's interesting in changing its policies, this could still turn into a battle royale. Stay tuned -- something tells us this isn't the last we'll hear on the matter.

[Thanks, Daniel P.]

Verizon to FCC: hey, you said ETFs were okay! originally appeared on Engadget on Fri, 18 Dec 2009 15:50:00 EST. Please see our terms for use of feeds.

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FCC extends deadline on Verizon's ETF response, lets it enjoy the weekend

Chris Ziegler — Fri, 18 Dec 2009 09:23:00 EST

They're not exactly calling off the hounds, but the FCC's standing down just a wee bit in its hunt to get to the bottom of Verizon's astronomical new $350 "advanced device" early termination fee; the original deadline for the carrier's responses was yesterday, December 17, but instead, the FCC will now be checking its mailbox on Monday. Even in the most extreme outcome, it'd likely be months or years before the FCC would actually go from an inquiry to applying pressure on Verizon to lower the fee. In the meantime, though, failure to respond to the questionnaire will probably result in an entertaining series of strong verbal admonishments and -- if Genachowski's in a feisty mood -- perhaps a flurry of punishing blows to Verizon's torso and upper body.

FCC extends deadline on Verizon's ETF response, lets it enjoy the weekend originally appeared on Engadget on Fri, 18 Dec 2009 09:23:00 EST. Please see our terms for use of feeds.

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FCC gives Verizon the third degree over $350 'advanced device' ETF

Chris Ziegler — Fri, 04 Dec 2009 13:46:00 EST

Early termination fees have always represented the flipside of subsidized pricing -- the necessary evil that keeps free phones free. Thing is, they were tough enough to swallow at $175 or $200, but Verizon's recently gone for the jugular in a hell-bent effort to keep subscribers locked in by upping the fee on vaguely-defined "advanced devices" (read: any phone a power user would ever want) all the way up to a mind-bending $350. Turns out the FCC is as confused and worked up as everyone else, though, having fired off a 4-page communique to Verizon's veep of legal and external affairs today asking how customers are notified of the new ETF, how the prorating formula is calculated (hint: they don't like that you still pay $120 after 23 months of a 24-month contract), and how an "advanced device" comes to be, among other things. Riding on the letter are a few extra questions about inadvertent mobile web charges for customers that aren't signed up for a data plan, totaling nine paragraph-long queries that the feds want answered by December 17. Your move, Verizon.

[Thanks, Daniel P.]

Gallery: FCC gives Verizon the third degree over $350 'advanced device' ETF

FCC gives Verizon the third degree over $350 'advanced device' ETF originally appeared on Engadget on Fri, 04 Dec 2009 13:46:00 EST. Please see our terms for use of feeds.

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Don't shop drunk: Verizon's $350 ETF is now live

Chris Ziegler — Sun, 15 Nov 2009 14:44:00 EST

Just a word of caution to anyone out there with an itchy credit card finger: signing up for a contract with Verizon just became a considerably more binding affair thanks to a big boost of its contract early termination fee from $175 to $350. Rumored for a few days now, the change became official as of yesterday, which means that anyone who bought an "advanced device" prior to the 14th is in the clear. The advanced device list can be found on Verizon's site, and as you might expect, it's a little broad and ridiculous -- winners like the Versa, Exilim, and Glyde are on there, so they're obviously not just referring to smartphones. They throw you a bone by reducing the ETF by a stout $10 for every month of the contract you successfully hurdle, but that still leaves you with a $120 ETF 23 months into a 24-month deal... so yeah, just be careful out there and don't do anything rash, alright?

Filed under: Cellphones

Don't shop drunk: Verizon's $350 ETF is now live originally appeared on Engadget on Sun, 15 Nov 2009 14:44:00 EST. Please see our terms for use of feeds.

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Don't shop drunk: Verizon's $350 ETF is now live

Chris Ziegler — Sun, 15 Nov 2009 14:44:00 EST

Filed under: Verizon Wireless

Don't shop drunk: Verizon's $350 ETF is now live originally appeared on Engadget on Sun, 15 Nov 2009 14:44:00 EST. Please see our terms for use of feeds.

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Verizon looking to bump early termination fee to $350 on 'advanced' devices

Darren Murph — Wed, 04 Nov 2009 08:42:00 EST

You know what's worse than showing your Bitter Beer Face to the world after you passed on Apple's iPhone and let AT&T enjoy the spoils? Raising your early termination fee to stratospheric heights. Just over a year ago, we honestly though this whole ETF thing was headed in the right direction, as most of the major carriers (VZW included) sought to prorate contracts in order to lessen the charge as one's contract drew closer to an end. Now, however, Big Red is evidently gearing up to pull a 180, with the slide above showing a $350 ETF for "advanced" devices (read: probably anything deemed a smartphone). The newly hiked rate will go into effect on November 15th, and while that $350 will decrease by $10 per month over the life of the agreement, this pretty much guarantees that you won't be adding a line, disconnecting and then flipping that phone on eBay.

Filed under: Verizon Wireless, Misc

Verizon looking to bump early termination fee to $350 on 'advanced' devices originally appeared on Engadget on Wed, 04 Nov 2009 08:42:00 EST. Please see our terms for use of feeds.

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Verizon looking to bump early termination fee to $350 on 'advanced' devices

Darren Murph — Wed, 04 Nov 2009 08:42:00 EST

Filed under: Cellphones

Verizon looking to bump early termination fee to $350 on 'advanced' devices originally appeared on Engadget on Wed, 04 Nov 2009 08:42:00 EST. Please see our terms for use of feeds.

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Verizon comes through with month-to-month plans

Chris Ziegler — Mon, 22 Sep 2008 18:31:00 EST

As expected, Verizon has announced today that its customers (and would-be customers) are welcome to sign up for month-to-month plans with no contract -- and thus, no early-termination fee -- involved, mimicking a move by AT&T earlier in the year. Of course, anyone taking advantage of the new plans won't be able to get in on carrier subsidies, but the trade-off is that if you decide to bolt for greener pastures, you won't be slapped with one of those nasty prorated charges. Oh, and before you give customer service a ring, take note: you'll need to fulfill the terms of your existing contract before jumping, natch.

Filed under: Cellphones

Verizon comes through with month-to-month plans originally appeared on Engadget on Mon, 22 Sep 2008 18:31:00 EST. Please see our terms for use of feeds.

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Verizon comes through with month-to-month plans

Chris Ziegler — Mon, 22 Sep 2008 18:31:00 EST

Filed under: Verizon Wireless

Verizon comes through with month-to-month plans originally appeared on Engadget on Mon, 22 Sep 2008 18:31:00 EST. Please see our terms for use of feeds.

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Verizon settles ETF class action suit for $21 million

Donald Melanson — Sat, 12 Jul 2008 22:14:00 EST

It's a far cry from the $1 billion potential pay-out we heard about initially, but it looks like Verizon will still be forking over a hefty chunk of cash as a result of that class action lawsuit over early termination fees -- $21 million, to be exact. Verizon still isn't about to admit to any wrong doing, however, with its spokesman saying simply that the suit "was a distraction," and that "this was a quick way to resolve it." As Dow Jones points out, the resolution of suits like these could well put a renewed focus on FCC Chairman Kevin Martin's efforts to curtail carriers' ability to charge ETF fees, which he hopes will eventually be governed by some national rules.

[Via Phone Scoop]

Verizon settles ETF class action suit for $21 million originally appeared on Engadget on Sat, 12 Jul 2008 22:14:00 EST. Please see our terms for use of feeds.

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Lawsuit could force Verizon to pay up for "illegal ETFs"

Darren Murph — Wed, 30 Jan 2008 03:09:00 EST

Simmer down, Verizon subscribers. A trial date has yet to be set, but apparently, an arbitrator has "certified a huge class action against Verizon Wireless" that could cost it nearly $1 billion in refunds of early termination fees. Reportedly, this case marks the "largest class ever certified in arbitration, with approximately 70 million members of the subscriber class." Essentially, the lawsuit is attempting to extract refunds for hordes of VZW customers that were charged with "illegal ETFs," and while a company spokesperson unsurprisingly declined comment, we're hearing that the trial could get going as early as mid-2008. That's two, who's next?

[Image courtesy of Spusa]

Filed under: Verizon Wireless, Misc

Lawsuit could force Verizon to pay up for "illegal ETFs" originally appeared on Engadget on Wed, 30 Jan 2008 03:09:00 EST. Please see our terms for use of feeds.

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Verizon Wireless allows customers to change plans without extending contract

Darren Murph — Wed, 03 Oct 2007 13:16:00 EST

Though you may be used to hearing Alltel boast of its consumer-friendly policy that enables users to change their plan at anytime without requiring a contract extension, now would be a good time to gear up for lots of similar chatter from Verizon. Reportedly, Verizon Wireless will soon allow its users to change up their plans mid-contract without asking them to sign on for any additional time, which should thoroughly excite those customers who've been regretting their plan decision since day two. So go on, Verizon customers, start scoping out which plan best fits your current lifestyle, because the new rule goes into effect on October 7th.

[Thanks, Kiwi616]

Filed under: Verizon Wireless

Verizon Wireless allows customers to change plans without extending contract originally appeared on Engadget on Wed, 03 Oct 2007 13:16:00 EST. Please see our terms for use of feeds.

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Verizon Wireless allows customers to change plans without extending contract

Darren Murph — Wed, 03 Oct 2007 13:16:00 EST

Filed under: Cellphones

Verizon Wireless allows customers to change plans without extending contract originally appeared on Engadget on Wed, 03 Oct 2007 13:16:00 EST. Please see our terms for use of feeds.

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