CTIA Statement on FCC's Request for Information on Wireless Early Termination Fees

WASHINGTON, DC – Today, CTIA-The Wireless Association® Vice President of Regulatory Affairs Chris Guttman-McCabe issued the following statement in response to the FCC's request for information on early termination fees (ETFs).

"CTIA and the wireless industry agree with the FCC that transparency and disclosure is very critical and that consumers must understand the terms of their contract.

"While we understand that the FCC's Consumer Task Force is only looking into the issue of early termination fees, we hope that there is a recognition by the FCC that these fees are part of the rate and rate structure that allows wireless carriers to, among other things, subsidize phone purchases. Additionally, consumers of all of the carriers that received letters from the FCC have multiple options when it comes to choosing plans and devices without early termination fees. About 20 percent of Americans have chosen a prepaid plan without a contract. It is also important to note that consumers can avoid ETFs by completing the contract terms.

"Ultimately, consumers in the United States have many options for subsidized handsets and lower priced plans that most consumers around the world do not have. This should be the goal of all of us, to give consumers the choice to pick among various competitive options."

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CTIA-The Wireless Association (www.ctia.org) is an international organization representing the wireless communications industry. Membership in the association includes wireless carriers and their suppliers, as well as providers and manufacturers of wireless data services and products. CTIA advocates on behalf of its members at all levels of government. The association also coordinates the industry’s voluntary best practices and initiatives, and sponsors the leading North American wireless trade shows. CTIA was founded in 1984 and is based in Washington, DC.