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White House petitions FCC to require all carriers to unlock all mobile devices

Obama administration urges FCC to require carriers to unlock mobile devices  —  Several months after calling for legislation to unlock cellphones, the White House filed a petition with the Federal Communications Commission …

Washington Post Hayley Tsukayama

Context & Ripple Effects

The administration had already called for legalizing phone unlocking in March, after the FCC said it would investigate the unlocking ban in February. The petition turns that policy position into a specific request for the FCC to impose a carrier-wide requirement, putting handset portability squarely before the communications regulator.

First-order effects

  • The FCC must weigh a formal White House request to require every carrier to unlock mobile devices, rather than leaving the issue to carrier practice.
  • Mobile carriers face the prospect of changing device-unlocking policies across their customer bases if the FCC adopts the requested rule.

Second-order effects

  • Easier unlocking would make it simpler for device owners to move a handset between carriers, increasing pressure on carriers to compete for customers beyond the devices tied to their networks.
  • A uniform FCC requirement would reduce the ability of individual carriers to use divergent unlocking policies as a retention tool.

Third-order effects

  • If the FCC sets an unlocking mandate, device portability becomes a regulatory condition of wireless competition rather than a policy determined carrier by carrier.

The trend: Federal communications policy is moving toward treating control of a handset after purchase as a consumer-mobility and competition issue.