The Federal Communications Commission (FCC) has unveiled a proposal to simplify the process for consumers to unlock their mobile phones from carrier restrictions.
Under the new rule suggested by FCC Chairwoman Jessica Rosenworcel, mobile service providers would be required to unlock phones within 60 days of activation.
This initiative seeks to enhance consumer freedom by allowing them to switch between wireless providers more easily, provided their phones are compatible with the new network.
FCC Proposes to Require Carriers to Unlocking Mobile Phones After 60 Days
Currently, mobile phones purchased through carriers are typically locked to that specific carrier until the contract expires or the device is fully paid off.
Despite previous legal restrictions on unlocking, which have since been relaxed, there remains confusion among consumers about when and how they can unlock their devices for use with other carriers or in different countries.
Rosenworcel emphasized the proposal's goal of fostering greater competition and transparency in the mobile telecommunications market.
The FCC plans to discuss and potentially implement these new rules during its upcoming July 18 Open Meeting, where it will vote on initiating a Notice of Proposed Rulemaking. This process aims to establish uniform unlocking requirements applicable to all mobile service providers nationwide.
in a press statement, Rosenworcel highlighted the benefits of clear and consistent unlocking rules, asserting that consumers should have the autonomy to switch carriers without being hindered by their device's locked status.
The proposed rule is framed to empower consumers with more options and reduce the costs associated with changing providers. Unlocking mobile phones after 60 days of activation is anticipated to promote competition by lowering the barriers to switching service providers.
By standardizing unlocking procedures across the industry, the FCC aims to mitigate consumer confusion and streamline the process of transferring devices between carriers.
Moreover, the proposal seeks public input on whether the unlocking requirement should apply retroactively to existing contracts or only to future agreements.
FCC Invites Feedback
The FCC's proposal also invites feedback on how a 60-day unlocking window might influence carrier incentives to offer discounted phones as part of postpaid and prepaid service plans.
There is also consideration for how such a requirement could potentially benefit smaller service providers, new market entrants, and resellers by increasing the availability of unlocked phones in the secondary market.
"Real competition benefits from transparency and consistency," Rosenworcel said in the statement. "That is why we are proposing clear, nationwide mobile phone unlocking rules. When you buy a phone, you should have the freedom to decide when to change service to the carrier you want and not have the device you own stuck by practices that prevent you from making that choice."
Related Article : Starlink Application for Nearly $900 Million in Rural Broadband Subsidies Rejected Again as FCC Reaffirms Decision