AT&T: FCC Fine Is 'Indefensible,' 'Coercion'

AT&T has come out swinging at the Federal Communications Commission over the agency's proposed $100 million fine for allegedly violating the transparency rule in the FCC's 2010 network neutrality order, calling it "unprecedented and indefensible" -- and in part unconstitutional -- and saying a court will throw it out if it is imposed.

AT&T wants the FCC to withdraw the proposed fine. The FCC proposed the fine in June 2015, and this is AT&T's chance to respond before the FCC decides whether to rule the apparent liability an actual one. Signaling that slowing broadband speeds is not an acceptable business model, the FCC’s Enforcement Bureau on June 17 proposed fining AT&T Mobile $100 million over its maximum bit rate approach to what AT&T says is a small minority of unlimited plan users whose heavy use could impair others’ online experience. Swallowing that fine was not one of the conditions on the AT&T-DirecTV deal, which was obvious from AT&T's response Monday (July 27) to the FCC notice of apparent liability (NAL). It called the FCC decision arbitrary, excessive and beyond its statutory authority.