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After embarrassing blunder, AT&T promises bill credits for future outages
AT&T's complicated promise After embarrassing blunder, AT&T promises bill credits for future outages If you lost service but only 9 cell towers went down, you won't get a bill credit. Jon Brodkin Jan 8, 2025 3:10 pm | 2 Credit: Getty Images | Bloomberg Credit: Getty Images | Bloomberg Story textSizeSmallStandardLargeWidth *StandardWideLinksStandardOrange* Subscribers only Learn moreAT&T, following last year's embarrassing botched update that kicked every device off its wireless network and blocked over 92 million phone calls, is now promising full-day bill credits to mobile customers for future outages that last at least 60 minutes and meet certain other criteria. A similar promise is being made to fiber customers for unplanned outages lasting at least 20 minutes, but only if the customer uses an AT&T-provided gateway.The "AT&T Guarantee" announced today has caveats that can make it possible for a disruption to not be covered. AT&T says the promised mobile bill credits are "for wireless downtime lasting 60 minutes or more caused by a single incident impacting 10 or more towers."The full-day bill credits do not include a prorated amount for the taxes and fees imposed on a monthly bill. The "bill credit will be calculated using the daily rate customer is charged for wireless service only (excludes taxes, fees, device payments, and any add-on services," AT&T said. If an outage lasts more than 24 hours, a customer will receive another full-day bill credit for each additional day.If only nine or fewer AT&T towers aren't functioning, a customer won't get a credit even if they lose service for an hour. The guarantee kicks in when a "minimum 10 towers [are] out for 60 or more minutes resulting from a single incident," and the customer "was connected to an impacted tower at the time the outage occurs," and "loses service for at least 60 consecutive minutes as a result of the outage."AT&T will decide whether outage is really an outageThe guarantee "excludes events beyond the control of AT&T, including but not limited to, natural disasters, weather-related events, or outages caused by third parties." AT&T says it will determine "in its sole discretion" whether the disruption is "a qualifying" network outage."Consumers will automatically receive a bill credit equaling a full day of service and we'll reach out to our small business customers with options to help make it right," AT&T said. When there's an outage, AT&T said it will "notify you via e-mail or SMS to inform you that you've been impacted. Once the interruption has been resolved, we'll contact you with details about your bill credit." If AT&T fails to provide the promised credit for any reason, customers will have to call AT&T or visit an AT&T store.To qualify for the similar fiber-outage promise, "customers must use AT&T-provided gateways," the firm said. There are other caveats that can prevent a home Internet customer from getting a bill credit. AT&T said the fiber-outage promise "excludes events beyond the control of AT&T, including but not limited to, natural disasters, weather-related events, loss of service due to downed or cut cable wires at a customer residence, issues with wiring inside customer residence, and power outages at customer premises. Also excludes outages resulting from planned maintenance."AT&T notes that some residential fiber customers in multi-dwelling units "have an account with AT&T but are not billed by AT&T for Internet service." In the case of outages, these customers would not get bill credits but would be given the option to redeem a reward card that's valued at $5 or more.Botched network updateIn February 2024, AT&T caused a major outage by botching a network update and took over 12 hours to fully restore service. At the time, AT&T said it was automatically issuing credits to affected customers "for the average cost of a full day of service.""All voice and 5G data services for AT&T wireless customers were unavailable, affecting more than 125 million devices, blocking more than 92 million voice calls, and preventing more than 25,000 calls to 911 call centers," the Federal Communications Commission said in a report after a months-long investigation into the incident.The FCC report said the nationwide outage began three minutes after "AT&T Mobility implemented a network change with an equipment configuration error." This error caused the AT&T network "to enter 'protect mode' to prevent impact to other services, disconnecting all devices from the network."The FCC found various problems in AT&T's processes that increased the likelihood of an outage and made recovery more difficult than it should have been. The agency described "a lack of adherence to AT&T Mobility's internal procedures, a lack of peer review, a failure to adequately test after installation, inadequate laboratory testing, insufficient safeguards and controls to ensure approval of changes affecting the core network, a lack of controls to mitigate the effects of the outage once it began, and a variety of system issues that prolonged the outage once the configuration error had been remedied."AT&T said it implemented changes to prevent the same problem from happening again. The company could face punishment, but it's less likely to happen under Trump's pick to chair the FCC, Brendan Carr, who is taking over soon. The Biden-era FCC compelled Verizon Wireless to pay a $1,050,000 fine and implement a compliance plan because of a December 2022 outage in six states that lasted one hour and 44 minutes.An AT&T executive told Reuters that the company has been trying to regain customers' trust over the past few years with better offers and product improvements. "Four years ago, we were losing share in the industry for a significant period of time... we knew we had lost our customers' trust," Reuters quoted AT&T Executive VP Jenifer Robertson as saying in an article today.Jon BrodkinSenior IT ReporterJon BrodkinSenior IT Reporter Jon is a Senior IT Reporter for Ars Technica. He covers the telecom industry, Federal Communications Commission rulemakings, broadband consumer affairs, court cases, and government regulation of the tech industry. 2 Comments
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