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Department of Justice signs off on Verizon-Alltel merger

Posted by Joe P on October 31, 2008

It was doubtful from the start that the Verizon-Alltel merger would be blocked by regulatory bodies. Yet, it is still significant to note that the Department of Justice has signed off on the deal. Of course, this is not without qualification. The two companies overlap in 100 markets across 22 states, and will have to divest some of those assets as a precondition to the merger. It looks like Verizon doesn’t have a problem with this, as John Thorne, general counsel for Verizon, noted that the DoJ “did it with terrific speed and thoroughness.” This represents 15 more markets than the 85 Verizon had proposed.

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Sprint finally jumps on prorated ETF bandwagon

Posted by Joe P on October 23, 2008

Finally! Earlier this week, Sprint CEO Dan Hesse revealed that his company is working on implementing prorated early termination fees. This is big news for the nation’s No. 3 wireless carrier, as they are the lone members of the Big Four to not offer a break for canceling late in a contract. The immediate issue at hand, of course, is of Sprint’s billing system. There need to be upgrades before such a plan can be implemented. So, in the interim, it would be advisable to not sign a Sprint contract between now and then. Otherwise, you’ll be stuck with the full ETF for the length of your contract.

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Sprint boosts customer service rating

Posted by Joe P on October 17, 2008

Sprint has long been the object of our ridicule, and for good reason. They have lousy customer support, their coverage isn’t optimal, and they continue to make public blunders. Lately, though, things seem to be turning around, despite their executives being rated as the most overpaid. Pali Research conducted a customer service survey during the third quarter of 2008, and found that Sprint had the best response time, answering more than 91 percent of calls in under 30 seconds.

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ETF class action suits allowed to proceed

Posted by Joe P on October 9, 2008

It is said that we have a strongly pro-business Supreme Court, though you wouldn’t know it by one of the first actions of their new session. They’ve declined to review a ruling which stated class action suits could continue against T-Mobile despite a mandatory binding arbitration clause in the carrier’s contract. They also allowed a 48-state class action suit against Sprint Nextel to move forward. RCR’s Jeffrey Silve calls this a setback for the wireless industry, but it is definitely a step forward for consumer protections.

Senator’s SMS questions lead to lawsuits

Posted by Joe P on October 3, 2008

The Dallas Morning News has us covered for today’s consumer topic. A short time ago, Sen. Herb Kohl asked carriers why SMS rates are so high. It costs very little to push the miniscule data pieces across the network, so he wonders how a carrier can charge 20 cents for each message sent and received. Not long thereafter, lawyers started suing carriers over the issue. The writer, Andrew Smith, notes that while massive profits aren’t illegal, “people start thinking about collusion and antitrust suits” when companies all hike their rates.

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