Louis: new page on the fcc 60-day handset unlocking waiver

2026-06-14T21:40:24Z

new page on the fcc 60-day handset unlocking waiver

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{{IncidentCargo
|Company=Verizon
|StartDate=2025-05-19
|EndDate=2026-01-12
|Status=Resolved
|ProductLine=
|Product=
|ArticleType=Service
|Type=Carrier Lock-in,Right to Repair,Anti-competitive
|Description=FCC let Verizon stop unlocking phones after 60 days; prepaid devices now stay locked a full year, making it harder to switch carriers
}}

'''Verizon handset unlocking waiver''' refers to the Federal Communications Commission's January 12, 2026 decision to release [[Verizon]] from the rule that forced it to unlock customer phones 60 days after activation. After the waiver, Verizon postpaid devices stay locked until the balance is paid in full,<ref name="da2643" /><ref name="phonearena-post" /> and prepaid devices stay locked for 365 days of active service, unlocked only on the customer's request rather than automatically.<ref name="9to5" /><ref name="spenza" /> The change reduces a customer's freedom to move a paid-for device to a competitor, and it ended a policy unique to Verizon among the national carriers.<ref name="lightreading-jan" /> The [[Federal Communications Commission|FCC's]] Wireless Telecommunications Bureau granted the waiver in order DA-26-43, acting on a petition Verizon filed on May 19, 2025.<ref name="da2643" /><ref name="da25490" />

== Background ==

=== The 700 MHz C-Block open-platform rule ===

The unlocking obligation came out of the FCC's 2007 auction of the 700 MHz spectrum band, vacated by broadcasters moving to digital television.<ref name="techlaw" /> During the rulemaking in WT Docket No. 06-150, Google submitted an ex parte letter on July 9, 2007 urging the Commission to attach "open platform" conditions to the commercial blocks, and pledged to bid on the 22-megahertz Upper C Block, which carried a $4.6 billion reserve price, if the conditions were adopted.<ref name="google" /><ref name="rcr" />

The Commission adopted a narrower version in its Second Report and Order, applying open-applications and open-devices requirements to the Upper C Block.<ref name="da2643" /> The rule was codified at 47 CFR 27.16(e), which bars a C Block licensee from disabling features that let a consumer use a handset on another provider's network. The FCC stated that licensees ''may not "lock" handsets to prevent their transfer from one system to another.''<ref name="da2643" /> Verizon Wireless won the Upper C Block licenses, which bound it to these obligations.<ref name="da2643" />

=== The 2019 partial waiver and the TracFone acquisition ===

In 2019, citing identity theft, device theft, and other types of handset-related fraud, the Wireless Telecommunications Bureau granted a partial waiver letting Verizon lock devices for the first 60 days after activation.<ref name="da2643" /> After 60 days, Verizon had to unlock the device automatically, whether or not the customer asked and whether or not the handset was paid off, with an exception only for devices found within that window to have been bought through fraud.<ref name="da2643" />

The obligation grew in 2021. In 2021, the FCC approved Verizon's acquisition of TracFone Wireless under GN Docket No. 21-112, and required Verizon to apply its 60-day unlocking policy to all TracFone devices.<ref name="da2643" /> TracFone had previously locked its prepaid phones for a year.<ref name="lightreading-jan" /> Moving TracFone's prepaid portfolio onto a 60-day automatic unlock set up the 2025 dispute.<ref name="da2643" />

== Verizon's 2025 waiver petition ==

Verizon filed its Request for Waiver on May 19, 2025, seeking relief from both the section 27.16(e) rule and the 2021 TracFone commitment.<ref name="da2643" /> The petition was docketed in WT Docket Nos. 06-150 and 24-186 and GN Docket No. 21-112.<ref name="da25490" />

Verizon argued the 60-day automatic unlock harmed consumers, distorted competition, and subsidized international device trafficking.<ref name="da25490" /> The petition reported that device fraud rose 55% after the TracFone acquisition forced the move from a 365-day lock to a 60-day lock, and that in 2023 Verizon lost an estimated 784,703 devices to fraud, which it said cost the company hundreds of millions of dollars a year.<ref name="lightreading-jan" /><ref name="policyband" /> Verizon also argued the rule singled it out, because AT&T and T-Mobile faced no 60-day mandate and used lock periods of six months to a year.<ref name="androidauthority" /><ref name="spenza" /> Verizon proposed that, if granted the waiver, it would follow the voluntary CTIA Consumer Code for Wireless Service until the FCC adopted an industry-wide rule.<ref name="da2643" />

The Wireless Telecommunications Bureau released a Public Notice, document DA-25-490, on June 6, 2025, seeking comment on the petition. It described the request:

<blockquote>''The Wireless Telecommunications Bureau seeks comment on a petition for waiver filed by Verizon on May 19, 2025, in WT Docket Nos. 06-150 and 24-186 and GN Docket No. 21-112, regarding the handset unlocking rule in section 27.16(e) of the Commission's rules that applies to Verizon as a 700 MHz C-Block licensee and the handset unlocking commitment that applies to Verizon as a condition of the Commission's approval of Verizon's acquisition of Tracfone.''</blockquote><ref name="da25490" />

The Bureau set initial comments due July 7, 2025 and reply comments due July 21, 2025, and treated the matter as a permit-but-disclose proceeding.<ref name="da25490" />

== The public comment record ==

=== Opposition ===

A coalition of consumer groups led by Public Knowledge, and including the Benton Foundation, Consumer Reports, the Electronic Frontier Foundation, Fight for the Future, and iFixit, filed a joint opposition on July 7, 2025.<ref name="pk" /> John Bergmayer, Legal Director of Public Knowledge, argued that the fraud rationale did not hold up because carriers with longer lock periods reported similar problems:

<blockquote>''First, fraud is not unique to carriers that unlock after 60 days. Carriers with much longer locking periods, such as AT&T and T-Mobile, also report high rates of device fraud and trafficking. This suggests that the issue is endemic to the business model, not the unlocking period.''</blockquote><ref name="pk" />

The opposition argued that device locking falls hardest on low-income prepaid customers who cannot buy a phone outright.<ref name="pk" /> The groups also noted that in 2024 the FCC had unanimously released a Notice of Proposed Rulemaking in WT Docket No. 24-186 exploring a universal 60-day unlocking mandate for all carriers, and argued that granting Verizon a longer lock conflicted with that pending proposal.<ref name="da2643" /><ref name="fierce" /> EchoStar, owner of Boost Mobile, also opposed the waiver.<ref name="fierce" />

=== Support ===

Seven state attorneys general, from Arkansas, Georgia, Idaho, Kansas, Montana, Utah, and West Virginia, filed comments backing the waiver, arguing that rapid unlocking burdened law enforcement tracking stolen devices.<ref name="da2643" /> The nonprofit Citizens Against Government Waste filed in support on July 1, 2025, signed by its president, Thomas A. Schatz, and endorsed Verizon's framing by quoting the carrier's petition:

<blockquote>''These bad actors target and harm American consumers and U.S. carriers like Verizon for their own profit, by diverting unlocked trafficked devices to consumers in foreign countries.''</blockquote><ref name="cagw" />

Citizens Against Government Waste asked the FCC to extend Verizon's lock period to 180 days to match prevailing industry practice.<ref name="cagw" />

== The FCC grant order ==

On January 12, 2026, the Wireless Telecommunications Bureau released DA-26-43, granting the waiver under Section 1.3 of the Commission's rules, which permits a waiver for good cause shown.<ref name="da2643" /> The order set out its finding:

<blockquote>''We find this waiver to be warranted because it will allow Verizon to take action against the substantial handset fraud, including device theft and handset trafficking, that uniquely impacts its business today and that significantly spiked following Verizon's acquisition of TracFone in 2021. While this waiver is in effect, Verizon has committed to fully comply with the unlocking policies in the CTIA Consumer Code...''</blockquote><ref name="da2643" />

Responding to Public Knowledge, the Bureau wrote that Verizon's position differed from its rivals' because of the 60-day mandate:

<blockquote>''While fraud is not unique to Verizon, Verizon is unique in being the only nationwide operator required to unlock its handsets in 60 days... Moreover, given the evolving and growing complexity of fraud actors, as detailed in the record, we find it prudent to allow Verizon to exercise its judgment to balance concerns about fraud to its business.''</blockquote><ref name="da2643" />

The Bureau did not grant a permanent release. It stated that the waiver would remain in effect until the Commission decided on an industry-wide unlocking approach, and it declined to limit the waiver to 180 days as some commenters had urged, finding that the CTIA Consumer Code was sufficient.<ref name="da2643" /><ref name="inkl" />

== New lock policies after the waiver ==

The waiver took effect on release, applying to devices activated on or after January 13, 2026.<ref name="bezkabli" /> Verizon revised its unlocking rules to track the voluntary CTIA commitments. For TracFone prepaid devices, Verizon adopted a 365-day lock, and the unlock at the end of that term was no longer automatic; the customer had to request it.<ref name="da2643" /><ref name="9to5" /><ref name="spenza" /> For postpaid devices, Verizon held the phone locked until the balance was paid off, and applied a 35-day delay before unlocking when a customer paid the device off online or in the app, with an instant unlock available only for a secure in-store payment.<ref name="phonearena-post" />

By comparison, AT&T unlocked postpaid devices after 60 days of service once paid off and prepaid devices after six months, while T-Mobile unlocked postpaid devices after 40 days once paid off and prepaid devices after 365 days.<ref name="spenza" /> The reporting on the change noted that a phone locked to Verizon could no longer be moved to a mobile virtual network operator on the same parent network until it was unlocked through Verizon's own channels, closing a path that some prepaid customers had used to switch.<ref name="spenza" />

== Consumer response ==

Ars Technica reporter Jon Brodkin wrote that the order killed the 60-day automatic unlocking requirement.<ref name="ars" /> Appleosophy described the 60-day unlock as a perk that had set Verizon apart from AT&T and T-Mobile, and noted that a locked iPhone ''prevents you from using a local eSIM when traveling abroad or adding a second line from a cheaper MVNO.''<ref name="appleosophy" /> Ars Technica also covered the small-claims case ''Patrick Roach v. Verizon'', in which a Kansas man sued Verizon for refusing to honor the TracFone unlock policy before the waiver was granted, and won.<ref name="soylent" /> Switching carriers with a paid-for device, Ars Technica concluded, would now take more time and effort than before.<ref name="9to5" />

Light Reading characterized the decision as a regulatory win that would cut Verizon's costs and reduce churn by raising the barrier for subscribers trying to move to a rival.<ref name="lightreading-jan" /> Fierce Wireless reported that the FCC received droves of public comments opposing the waiver, with consumers calling for more unlocked phones.<ref name="fierce" /> The right to easily move a purchased device to a cheaper carrier is a recurring theme in the [[Right to Repair]] and consumer-ownership debate, and the waiver narrowed it for Verizon customers.<ref name="9to5" />

== References ==
<references>
<ref name="da2643">{{Cite web |title=Order Granting Verizon Request for Waiver of the Commission's Handset Unlocking Rule (DA-26-43) |url=https://docs.fcc.gov/public/attachments/DA-26-43A1.pdf |publisher=Federal Communications Commission, Wireless Telecommunications Bureau |date=2026-01-12 |access-date=2026-06-14}}</ref>
<ref name="da25490">{{Cite web |title=Public Notice: WTB Seeks Comment on Verizon's Petition for Waiver (DA-25-490) |url=https://docs.fcc.gov/public/attachments/DA-25-490A1.pdf |publisher=Federal Communications Commission, Wireless Telecommunications Bureau |date=2025-06-06 |access-date=2026-06-14}}</ref>
<ref name="techlaw">{{Cite web |title=FCC Adopts 700 MHz Band Rules |url=http://www.techlawjournal.com/topstories/2007/20070731.asp |publisher=Tech Law Journal |date=2007-07-31 |access-date=2026-06-14}}</ref>
<ref name="google">{{Cite web |title=Google intends to bid in spectrum auction |url=http://googlepress.blogspot.com/2007/07/google-intends-to-bid-in-spectrum_20.html |publisher=Google Press Blog |date=2007-07-20 |access-date=2026-06-14}}</ref>
<ref name="rcr">{{Cite web |title=Google puts money where principles are, says it will bid in 700 MHz auction |url=https://www.rcrwireless.com/20071130/free-reports/google-puts-money-where-principles-are-says-it-will-bid-in-700-mhz-auction |publisher=RCR Wireless News |date=2007-11-30 |access-date=2026-06-14}}</ref>
<ref name="policyband">{{Cite web |title=D.C. Memo: Verizon Wants FCC to Lift Mobile Phone Unlocking Mandate |url=https://www.policyband.com/p/dc-memo-verizon-wants-fcc-to-lift |publisher=PolicyBand |date=2025-05-21 |access-date=2026-06-14}}</ref>
<ref name="androidauthority">{{Cite web |title=Verizon has petitioned the FCC to waive its 60-day phone unlocking requirements |url=https://www.androidauthority.com/verizon-phone-unlocking-rule-petition-3560268/ |publisher=Android Authority |date=2025-05-22 |access-date=2026-06-14}}</ref>
<ref name="pk">{{Cite web |title=Opposition to Waiver and Comments of Public Knowledge, Benton Institute, Consumer Reports, EFF, et al. |url=https://publicknowledge.org/wp-content/uploads/2025/07/PK_et_al_Verizon_unlocking_comments.pdf |publisher=Public Knowledge |date=2025-07-07 |access-date=2026-06-14}}</ref>
<ref name="cagw">{{Cite web |title=Comments of CAGW on Verizon's Handset Unlocking Waiver Petition |url=https://ccagw.org/wp-content/uploads/2025/07/CAGW-Verizon-Petition-Relating-to-Handset-Unlocking-07_01_2025.pdf |publisher=Citizens Against Government Waste |date=2025-07-01 |access-date=2026-06-14}}</ref>
<ref name="fierce">{{Cite web |title=Verizon's phone unlock proposal draws a lot of opposition |url=https://www.fierce-network.com/wireless/verizons-phone-unlock-proposal-draws-bunch-opposition |publisher=Fierce Network |date=2025-07-08 |access-date=2026-06-14}}</ref>
<ref name="inkl">{{Cite web |title=Verizon Customers Will Have to Wait to Unlock Their Phone Going Forward |url=https://www.inkl.com/news/verizon-customers-will-have-to-wait-to-unlock-their-phone-going-forward-here-s-why |publisher=Inkl (Ars Technica syndication) |date=2026-01-13 |access-date=2026-06-14}}</ref>
<ref name="phonearena-post">{{Cite web |title=Verizon Postpaid Unlock Policy |url=https://www.phonearena.com/news/verizon-postpaid-unlock-policy_id178200 |publisher=PhoneArena |date=2026-02-15 |access-date=2026-06-14}}</ref>
<ref name="spenza">{{Cite web |title=MVNO Locked-Phone Challenge & BYOD: T-Mobile, AT&T, Verizon Policies (2026 Guide) |url=https://spenza.com/byod/mvno-locked-phone-challenge-guide/ |publisher=Spenza |date=2026-04-09 |access-date=2026-06-14}}</ref>
<ref name="bezkabli">{{Cite web |title=FCC lets Verizon end the 60-day phone unlocking rule |url=https://www.bez-kabli.pl/fcc-lets-verizon-end-the-60-day-phone-unlocking-rule-what-changes-for-iphone-and-android-users-starting-jan-13-2026/ |publisher=Bez-Kabli |date=2026-01-13 |access-date=2026-06-14}}</ref>
<ref name="lightreading-jan">{{Cite web |title=Verizon can lock phones to network for longer |url=https://www.lightreading.com/regulatory-politics/verizon-can-lock-phones-to-network-for-longer |publisher=Light Reading |date=2026-01-14 |access-date=2026-06-14}}</ref>
<ref name="ars">{{Cite web |title=Verizon to stop automatic unlocking of phones as FCC ends 60-day unlock rule |url=https://arstechnica.com/tech-policy/2026/01/fcc-lets-verizon-lock-phones-for-longer-making-it-harder-to-switch-carriers/ |last=Brodkin |first=Jon |publisher=Ars Technica |date=2026-01-12 |access-date=2026-06-14}}</ref>
<ref name="appleosophy">{{Cite web |title=Verizon Ends Automatic Phone Unlocking After 60 Days |url=https://appleosophy.com/2026/01/14/verizon-ends-automatic-phone-unlocking-after-60-days/ |publisher=Appleosophy (citing Ars Technica) |date=2026-01-14 |access-date=2026-06-14}}</ref>
<ref name="soylent">{{Cite web |title=Verizon refused to unlock man's iPhone, so he sued the carrier and won |url=https://soylentnews.org/article.pl?sid=25/12/16/0735240 |publisher=SoylentNews (citing Ars Technica) |date=2025-12-17 |access-date=2026-06-14}}</ref>
<ref name="9to5">{{Cite web |title=Verizon will start locking phones for longer, making it harder to switch carriers |url=https://9to5mac.com/2026/01/13/verizon-will-start-locking-phones-for-longer-making-it-harder-to-switch-carriers/ |publisher=9to5Mac (citing Ars Technica) |date=2026-01-13 |access-date=2026-06-14}}</ref>
</references>

[[Category:Verizon]]
[[Category:Federal Communications Commission]]
[[Category:Carrier Lock-in]]
[[Category:2026 incidents]]

Verizon handset unlocking waiver - Revision history

Louis: new page on the fcc 60-day handset unlocking waiver