As one of the fastest growing cell phone companies in the nation, you would think Verizon had all of the money that they needed. Wrong.
Although a lot of customers have switched over to new smart phones that automatically come with data packages, a lot of customers still have un-smart (?) phones that don’t automatically come with data packages. I recall (when I had an un-smart phone) flipping my phone open and accidentally hitting a key that sent me to the internet and then pressing the end button multiple times to try and get out of it before I was charged since I didn’t pay for interent for my phone. I actually did that quite a few times. Well, each time a Verizon customer does that, they are charged $1.99. EACH time they do that, they basically give Verizon two bucks. According to the research done by a New York Times blogger, a Verizon customer will accidentally hit that button three times a month on average. Verizon has 87 million customers. Let me do the math for you. Each month, Verizon makes over $300 MILLION in data revenue (par. 2).
So, as Verizon says, why stop that revenue? The New York Times blogger also said that, when confronted by the FCC (Federal Communications Commission), Verizon claimed that they don’t charge their customers for hitting that button (par. 9). However, about 400 people commented on the blog and said that they were charged for accidentally hitting that button. Obviously, Verizon is just trying to cover their behind.
Although a lot of customers have switched over to new smart phones that automatically come with data packages, a lot of customers still have un-smart (?) phones that don’t automatically come with data packages. I recall (when I had an un-smart phone) flipping my phone open and accidentally hitting a key that sent me to the internet and then pressing the end button multiple times to try and get out of it before I was charged since I didn’t pay for interent for my phone. I actually did that quite a few times. Well, each time a Verizon customer does that, they are charged $1.99. EACH time they do that, they basically give Verizon two bucks. According to the research done by a New York Times blogger, a Verizon customer will accidentally hit that button three times a month on average. Verizon has 87 million customers. Let me do the math for you. Each month, Verizon makes over $300 MILLION in data revenue (par. 2).
So, as Verizon says, why stop that revenue? The New York Times blogger also said that, when confronted by the FCC (Federal Communications Commission), Verizon claimed that they don’t charge their customers for hitting that button (par. 9). However, about 400 people commented on the blog and said that they were charged for accidentally hitting that button. Obviously, Verizon is just trying to cover their behind.
Eventually, the FCC won out and required Verizon to refund their clients for all of the charges. That sum totalled $90 million. And according to Verizon’s website, in their ethics and governance section, they claim to have a special department of senior executives that makes sure that they stay on the road to becoming a better corporation. They even developed a “corporate responsibility process [that] helps [them] assure that [their] practices keep pace with the evolving needs and expectations of [their] customers” (par. 4).
So, if you’re a Verizon customer, watch out! Corporations are hard to trust and their past actions don’t make it any easier.
Photo by: Matt McGee
Sources: http://pogue.blogs.nytimes.com/2010/10/04/verizon-comes-clean/
http://responsibility.verizon.com/home/approach/chairmans-message/
Dear Blogger,
ReplyDeleteAs a former owner of an un-smart phone I feel your pain! I hated seeing the little internet icon come up after I had accidentally hit the button. I knew when the bill came in I was going to hear about it from my dad.
"Verizon makes over $300 MILLION in data revenue (par. 2)." Have you ever noticed the internet button was often the largest button on the phone? They knew people would hit it and bring in extra revenue for them. Not cool!
"Eventually, the FCC won out and required Verizon to refund their clients for all of the charges." I wish the FCC would go after AT&T because I could use the $50 that went down the toobs over the years back. Although I won't be waiting by the mailbox for that check.
Thanks for letting me know the FCC still helps us out every once in a while! I'll be back for more blogs like this one.
Kudu
Blogger,
ReplyDeleteDo what?? I use Verizon and for the longest time I railed against buy a smartphone. I loved my un-smart phone. I couldn't imagine operating a phone that didn't flip open. However the accidental launching of the internet did plague my existence with that phone...
"...Verizon makes over $300 MILLION in data revenue." I believe it! I don't even know how many times I managed to bump that button. I didn't know they were sucking two bucks out of me every time though!
"However, about 400 people commented on the blog and said that they were charged for accidentally hitting that button." HA! Oh, silly Verizon, don't you know that the millions of people you scammed have internet access on their computers that you don't suck them dry over? I find it funny that their customers refuted their claims directly onto their news article.
Nifty article, thanks for sharing. Keep letting loose ideas like this in the blogosphere and you'll keep me coming back~
- Mockingbird
Dear writer,
ReplyDeleteVerizon, along with other companies, seem to be a bit sneaky about this! I have also experienced this terrible trap, though I didn't know that it costed so much.
"Verizon makes over $300 MILLION in data revenue (par. 2)." This is shocking. I always wonder why they need that much money (with that only being a small portion of what they actually get). I have to ask myself what that amount of stolen money could do if it were actually used.
"However, about 400 people commented on the blog and said that they were charged for accidentally hitting that button." That sure is a lot of people commenting on a blog...and proves that Verizon did not mind lying to the FCC and their unaffected customers.
Your blog is interesting, I enjoyed it a lot! It was one that I could actually connect to!
Your reader,
Blue Jay