In 2014, the Federal Trade Commission went after AT&T for effectively changing the terms of customers on a legacy “unlimited data” plan and not being up front about throttling practices.
The case was tossed out of appeals court in 2016 over a question of jurisdiction between the FTC and FCC, but it was reinstated in February — ahead of the repeal of net neutrality rules on June 11 — with a new FCC policy relying on the FTC for enforcement through its fair trade policies.
AT&T had been considering taking the case to the Supreme Court, but now it seems that the two parties are headed for a settlement.
“We have decided not to seek review by the Supreme Court, to focus instead on negotiating a fair resolution of the case with the Federal Trade Commission,” said Mike Balmoris, an AT&T spokesperson, to Reuters.
The carrier has insisted that it made its new throttling policy clear to customers through messages on bills, through SMS and other means.
The FTC also proposed a $100 million fine — what would be the largest of its kind — but never moved forward with it.