Verizon Wireless sues T-Mobile, alleges false advertising


A T-Mobile logo is seen on the storefront door of a store in Manhattan, New York, U.S., April 30, 2018. REUTERS/Shannon Stapleton

NEW YORK, ‌Feb 4 (Reuters) - Verizon Wireless sued T-Mobile on Wednesday, accusing ‌its largest rival of false advertising and causing irreparable harm ‌by promising consumers more than $1,000 of annual savings if they switch cellphone carriers.

According to a complaint filed in Manhattan federal court, T-Mobile exaggerated the alleged savings, ‍sometimes by more than 100%, by comparing ‍its promotional rates with ‌Verizon's standard rates, and inflating the value of streaming, satellite connectivity and ‍other ​benefits that "the other guys leave out."

Verizon also said T-Mobile doubled down on savings claims that were "substantially identical" to ⁠claims that the National Advertising Review Board, which ‌oversees the U.S. system of advertising industry self-regulation, found unsubstantiated and misleading in ⁠2025 and ‍2026.

The alleged deception includes not offering apples-to-apples comparisons of subscriber costs by understating the savings that New York-based Verizon offers when it bundles ‍various services, such as Netflix with HBO ‌Max, or Hulu with Disney+ and ESPN+.

T-Mobile, based in Bellevue, Washington, had no immediate comment. Verizon did not immediately respond to requests for additional comment.

The lawsuit seeks unspecified triple damages for alleged intentional false advertising under the federal Lanham Act, and damages for violating New York laws against unfair competition and trade practices. It also ‌seeks to halt the challenged ads.

Verizon had 146.9 million subscribers as of December 31, while T-Mobile had 139.9 million as of September 30, according to ​the companies' financial reports. AT&T Mobility ranked third, with 120.1 million as of December 31.

(Reporting by Jonathan Stempel in New York; Editing by Matthew Lewis)

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Tech News

Opinion: Sometimes technology is annoying
Is your gaming console ‘retro’? GameStop just added 3 fan-favorites to the list
Trapped! Inside a self-driving car during an anti-robot attack
Review: Suda’s new hero doesn’t quite hit mark in ‘Romeo Is a Dead Man’
OpenAI to introduce ads to all ChatGPT free and Go users in US
OpenAI to nearly double workforce to 8,000 by end-2026, FT reports
Exclusive-Pentagon to adopt Palantir AI as core US military system, memo says
Can YouTube videos help robots learn household chores?
AI 'man camps' offer golf, free steaks to lure workers in Texas
Many teens face strong peer pressure to share sexual images, study finds

Others Also Read