FCC Fined Carriers for Data Sharing


On Apr. 29, FCC fined wireless carriers for sharing of location data.


  • FCC fined AT&T, Sprint, T-Mobile, Verizon nearly $200mn for sharing location data.
  • Follows notices of apparent liability (NAL) issued against carriers in Feb. 2020, #72687
  • FCC finalized 2020 forfeiture orders against AT&T, Sprint, T-Mobile, and Verizon.
  • Alleged Violations
  • The carriers sold access to location data to third parties without customer consent.
  • Location data is considered customer proprietary network information (CPNI).
  • The carriers often sold the data to aggregators who then sold to third party location based service providers and in every step, the company did not get customer consent.
  • Violated section 222 of Communications act (47 USC 222) where carriers must take reasonable measures to protect certain customer information, including location data.
  • Per the act, carriers avoid obligations to protect CPNI by delegating to third parties.
  • Chair and Commissioner Statements
  • FCC Chairwoman Jessica Rosenworcel vowed to hold all carriers accountable, but Commissioner Brendan Carr believes the decision steps outside of FCC's authority.
  • Commissioner Nathan Simington also dissented the decision to fine the wireless carriers, and believes that decision exceeds the 503 statutory authority of the FCC.
  • Also believes fines stemmed from an arbitrary selection of a violation class to increase number of violations emerging from a single act, that FCC's decision was too harsh.
  • Enforcement
  • Sprint and T-Mobile, who merged since the investigation, were fined over $12mn and $80mn, respectively, AT&T was fined over $57mn, Verizon was fined almost $47mn.

Regulators FCC
Entity Types CNSM; Corp
Reference Sp, PR, Lt, LR FCC 24-440, FCC 24-441, FCC 24-442, FCC 24-443, 4/29/2024; Citation: 47 USC 222;
Functions Compliance; Financial; Legal; Privacy; Record Retention; Sales Practices
Countries United States of America
Category National Regulator
State
Products Corporate
Regions Am
Rule Type Enforcement
Rule Date 4/29/2024
Effective Date 4/29/2024
Rule Id 210307
Linked to Rule :72687
Reg. Last Update 4/29/2024
Report Section AML & Enforcement

Last substantive update on 05/02/2024