ACCC warns companies about mobile broadband speed advertising

Telcos across Australia have been issues a warning in relation to mobile and wireless broadband speed advertising by the Australian Competition and Consumer Commission.

According to a recent report telecommunications companies in Australia have received a warning recently from the Australian Competition and Consumer Commission, with the warning issues in relation to mobile and wireless broadband advertising speeds. An information paper has been produced by the ACCC to help telcos to comply with the regulations in relation to advertising speeds.

When advertising mobile and wireless internet services telcos will have to ensure that they comply with regulations in the Trade Practices Act 1974. An official from the ACCC stated: “The ACCC is concerned by companies over-promising and under-delivering the speeds available on mobile and wireless internet, particularly in the context of network upgrades and increasing wireless internet subscriptions.”

He also commented on the information paper, stating: “This Information Paper is intended to assist the whole industry – mobile and wireless internet retailers, resellers, and network owners – to comply with the law.” The guidance states that telcos should not advertise maximum or up to speeds if the speeds are not realistically achievable by users of the service.

The ACCC also went on to say: “Companies that act in contravention of the law risk legal action.” The group added: “The Information Paper contains an Industry Checklist to assist companies comply with the law and we urge them to use it before advertising any existing or new mobile or wireless internet services.”  The Information Paper and the measures being taken are part of a wider plan by the ACCC to crack down on telcos across Australia according to reports.

Source – TMCNet