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AT&T Hit with Class Action Lawsuit Over Phantom Data

May 20, 2011, 7:30 AM by Eric M. Zeman

A class action lawsuit has been filed against AT&T, claiming the company "systematically overstates" data charges on iPhone and iPad data plans. Lawyers hired an outside computer firm (spending $80,000) to test how the iPhone and iPad consume data, and then compared the consumption to what AT&T bills. They found that AT&T consistently charges 7% to 14% more per transaction than what the iPhone/iPad actually consumes. The lawyers likened it to a rigged gas pump. AT&T called the law suit "without merit" and said that the customers involved don't understand how data charges work. It pointed out that applications often consume data or perform updates in the background, and even at night when people believe their phones aren't being used. While the amount of the overcharges added to customer bills is typically small, the lawyers contend that when multiplied by 20 million iPhone and iPad users AT&T is bilking its customers and making millions of dollars. Damages weren't specified by the claimants.

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Comments

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This forum is closed.

Slammer

May 20, 2011, 8:30 AM

Inconclusive Study.

Unless there are other documents I'm unaware of, how can they single out Apple data usage without conducting the same study on the other platforms before litigating AT&T. To compare data usage vs billing practices for one platform, seems unfair although suspicious on the part of AT&T.

I suspect because of this, that we will hear more about studies for the other platforms, but until then, I feel they should've remained quiet until a full scope is concluded.

John B.

GeeksAreBest

I think that they singled out iPhones because at worst, the lawsuit opens another class action option to sue Apple for whatever it is that's defaulted in the phones that uses data.

This reeks of typical ambulance chaser legal practices.

flagrantmisuse

it's cool to hate apple, and att. havent you posted in this forum before?

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netboy

May 20, 2011, 8:24 AM

get some better lawyers!

"While the amount of the overcharges added to customer bills is typically small, the lawyers contend that when multiplied by 20 million iPhone and iPad users AT&T is bilking its customers and making millions of dollars. " -dumb lawyers

not everybody on 200mb 15$ plan!
some have unlimited data at 30$!
some on 2gb 25$ data plan, and I rarely go over 2gb a month!

keithfrombm

Right...the point was that you multiply the % of infringement by the number infringed and it's a biggie. I also have unlimited. That doesn't mesn I must support the rape of the wallets of those who do not.

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T Bone

May 20, 2011, 10:53 AM

Even if true

Even if true, it sounds more like a software bug with iOS then evidence of malice on the part of at&t....

They are going to have to do a lot better than that, like coming up with coming up some proof that other platforms are affected as well, to be able to pin this on at&t.

mycool

No, they're not saying that the devices are misreporting the actual data usage. They're claim is that the data usage on the devices is accurate and that AT&T is charging additional data that isn't being used.

AT&T is the one making the claim that t...
(continues)

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cellgeek82

Well how's this for proof. I had an iPhone 4 on AT&T and constantly had to watch my data because it got to 2GB pretty quick compared to other phones I've had. Now I'm back on Verizon with an iPhone 4 and I stay on 3G most of the time and I find it h...
(continues)

GeeksAreBest

May 20, 2011, 7:34 AM

I have an iPhone

And I've got stuff like push notifications set up for my email, it checks it every 15 minutes. I work for AT&T customer care and had a guy call in saying he used no data on his phone, I walked him through settings and found that he had push notifications for all his apps still active as well as email...

I think the outcome of this is that to own a smartphone, instead of a slide lock you have to pass an IQ test to open it.

T Bone

Is to require an IQ test to sign a cell phone contract...only problem is we would have no customers!

mycool

GeeksAreBest said:
And I've got stuff like push notifications set up for my email, it checks it every 15 minutes. I work for AT&T customer care and had a guy call in saying he used no data on his phone, I walked him through setting

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(continues)

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Red_Minx