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Winter 2006

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In survey after survey, cell
phone subscribers reveal chronic
dissatisfaction with the wireless
industry.
Consumers report difficulty
comparing cell phone plans
because information on terms,
pricing and service is not presented
in a uniform manner. Carriers
often fail to clearly disclose the
true cost of their plans, adding on
various surcharges to consumers’
bills.
Consumers also cannot
adequately judge the quality of
the cellular service in their area
before choosing a plan. Moreover,
consumers who are fed up with
their carriers’ billing errors and poor coverage are often locked
into long-term contracts with hefty
early termination fees.
The Federal Communications
Commission (FCC), the agency
charged with overseeing the
wireless industry, reports a yearly
40-percent rise in complaints
between 2003 and 2004, a rate
that significantly outpaces the
increase in subscribers. Although
the FCC tracks complaints, it has
done little to regulate the industry,
instead looking to competition and
market forces to protect wireless
subscribers.
TexPIRG is aggressively pushing
the FCC to take action to regulate
the industry. |