FCC Approves Verizon-TracFone Deal with Consumer Protections

The Federal Communications Commission has voted to approve—with strong consumer protection conditions—the transfer of control of TracFone Wireless from América Móvil to Verizon Communications. After rigorous review, the FCC found that the transaction, as modified by Verizon’s enforceable commitments, will make Verizon and TracFone stronger providers of prepaid and Lifeline services. Given the communities that TracFone primarily serves within the US, the FCC adopted a number of binding conditions to address potential harms and to ensure the transaction will be in the public interest. The FCC also adopted strong, independent mechanisms for enforcing these conditions and ensuring that the transaction does not harm low-income or other consumers. These enforcement mechanisms include both an internal and an independent compliance officer who are empowered to proactively monitor conditions, ensure that low-income consumers are not being harmed, and facilitate consumer complaints about potential violations. Given the likelihood that any violation of these conditions could harm low-income consumers, the FCC is also requiring regular public reporting and more than seven years of oversight.

FCC Approves Verizon-TracFone with Consumer Protections FCC approves Verizon-Tracfone acquisition, demanding 'strong' consumer protections (C|Net)