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AT&T's unlimited data plans were unlimited

From bullshitopedia
AT&T's unlimited data plans were unlimited
MISLEADING
"Customers on AT&T's "unlimited" mobile data plans could use as much data as they wanted at normal speeds."
Domain Consumer Products & Everyday Life
Tactic False Context
Era Current
First seen 2011
Origin AT&T's marketing and renewals of unlimited data plans after 2011
Last reviewed 2026-10-30
Further reading: books on Consumer Products & Everyday Life

AT&T sold smartphone plans with unlimited data. Starting in 2011, it slowed the speeds of unlimited customers who used more than a set amount of data in a billing cycle, sometimes so much that web browsing and video became difficult.

The Federal Trade Commission sued, saying AT&T had not adequately told customers.

What the evidence shows

  • Throttling. The FTC said AT&T throttled at least 3.5 million unique customers more than 25 million times, sometimes after as little as 2 gigabytes of use.
  • Settlement. In November 2019, AT&T agreed to pay $60 million to settle the FTC case. The money went to partial refunds for affected customers.
  • Disclosure. The FTC alleged AT&T failed to disclose the throttling clearly when customers signed up or renewed.

Why it matters

"Unlimited" became a marketing term with hidden limits. Regulators required companies to disclose those limits clearly.

Sources

  • Federal Trade Commission, "AT&T to Pay $60 Million to Resolve FTC Allegations It Misled Consumers with 'Unlimited' Data Promises," November 5, 2019.
  • FTC v. AT&T Mobility LLC, complaint filed October 28, 2014.
  • Reuters, "AT&T to pay $60 million over FTC claims it slowed unlimited data," November 2019.