T-Mobile Hit With Class-Action Lawsuit for Throttling Data

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T-Mobile is being accused of deception, lying and betrayal. OK, maybe that’s a little much, but in California there are many who aren’t too thrilled about its “unlimited data” advertisements that come along with the myTouch Slide 3G and the Nexus One. However, T-Mobile is capping data usage at 5GB or 10GB before it cuts off access to the 3G data network and throttles it way down to virtually unusable speeds.

Now, for most users it seems 5GB or 10GB of data is far more than enough for a single month. After all, even continuous radio and video streaming throughout the day, along with web browsing and e-mail, still might not send a user into the 4-5GB range. But a deal is a deal and selling handsets at a lower rate just to get folks to sign up for a contract on the promise that data will be truly unlimited, and reneging on that promise is against the law.

CED reports:

Alvarez found out about the data limit in May when he received a text message from the carrier stating: “Your data usage in this billing cycle has exceeded 10 GB; data throughput for the remainder of the cycle may be reduced to 50 kbps or less.”

So now Alvarez is stuck with a two-year contract and is unable to experience unlimited data services that he says were promised. The reduction has rendered his phone unable to send e-mails, download music and videos, and upload photos and applications.

We’re not going to judge and ask what the hell Mr. Alvarez was doing to exceed 10GB of data usage, but it does appear that T-Mobile isn’t keeping up on its end.

It is understandable that carriers may want to throttle or cap its data plans in order to keep hardcore power users like the one mentioned above from ruining the experience for everyone else. Just take a look at what happened to AT&T’s network where thousands of iPhone users are trying to squeeze as much data as they possibly can all at once.

What’s a little confusing here is that most advertisements will claim unlimited data, but will stipulate in contracts that data is actually capped or throttled after a certain point. Perhaps it’s time for carriers to be a little more clear when it comes to the services they’re selling.

[Via: CED]

  • Trent A

    I am Mr. Alvarez who initiated this suit. I didn’t tether nor do anything out of the ordinary. Mainly used my phone for googlemaps, youtube, browsing, etc. It wasn’t until i got my nexus one that my data usage surged and went passed 10gb. This has happened 4 different months now. Other nexus users were also having much higher data usage. Tmobile shouldn’t be so deceptive in it’s advertising, I was completely un aware there was any “cap” whatsoever. Verizon lost a case just like this in 2007. Tmobile needs to start being upfront about data usage or upgrade their networks to handle today’s data hungry smartphones.

    • REDNDEYES

      I JUST GOT MY TXT MESSAGE FROM TMOBILE AND NOW MY SPEED HAS BEEN GREATLY REDUCED. I WOULD LIKE YOU TO CONTACT ME REGUARDING THIS. REDNDEYES@YAHOO

    • http://twitter.com/chadridings Chadwick

      It happened to me today… only 6 days into my billing cycle and no I was never informed of this when I purchased the phone and I was completely misled. I will tell you exactly what I was doing. I was watching lots of Youtube videos because I have no other source of internet right now other than my phone. So, they now have me reduced to dial-up speeds, and why??? Because I was trying to use the service I was under the impression I was paying for… A service that cost me $150+ a month for just two phones!!! And that is a hell of alot more than just purchasing Hi-speed internet at home. Completely defeats the purpose of me purchasing a phone like this… I don’t think there is a damn think wrong with me wanting to watch videos on my phone!!! BUT THERE IS SOMETHING DEFINITELY WRONG WITH THE WAY I WAS MISLED!!!!

  • Bigbear

    Mr. Alvarez is right T Mobile is a fraud there going to go down like Donkey Kong for this. Who do they think they are limiting us when they clearly stated unlimited. I hope they loose tons of money for this.

    Steven.

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