AT&T Bullies FCC, Tells Agency To Back Off Or Face Trump Administration’s Wrath

The Federal Communication Commission recently sent letters to major telecommunication companies, specifically AT&T and Verizon. The letters brought up concerns by the agency about so-called “zero ratings” services, which the FCC views as bad for competition. The carriers recently wrote back and essentially told the agency to back off or face the wrath of the incoming Trump organization.

Zero ratings is basically a method of offering certain services to users that won’t count against their data, which can include viewing TV shows using services like DirectTV that AT&T is offering. While it’s not technically banned under net neutrality rules, it is still heavily criticized by the agency and watchdogs for being harmful to competitors, The Verge reports.

The main problem that the FCC has when it comes to zero ratings is the fact that major companies that own the majority of the networks that provide the country with internet connection like AT&T could afford to remove the data charges when streaming. Other companies typically have to pay them to use these networks in order to provide their customers with internet connection, which is where the disparity comes in.

If major companies like AT&T and Verizon start offering services that only they can because of their size, it would effectively hurt whatever company they are trying to compete with through certain products or services. With video movie or TV streaming, for example, customers typically have to pay for monthly subscriptions fees on top of the data they consume in order to watch. With services like DirectTV, they won’t have to pay for both.

In its reply letter, AT&T pointedly reminded the FCC that the incoming administration is perfectly fine with what they were doing. This effectively hinted that it would, therefore, be in the interest of members of the agency to fall in line.