Anyone who has had a cell phone with bad reception or has experienced poor customer service from their wireless carrier will have the opportunity to change companies while keeping their old phone number.
The Federal Communications Commission ruled that on Nov. 24 consumers will be able to switch telephone companies without receiving a new cell phone number.
Chelsea Fallon of the FCC said the change “basically allows wireless customers to switch carriers within a local area.”
This could be good news for anyone who is unsatisfied with their service but has kept it to avoid the confusion of getting a new number.
This new law could affect both consumers and cell phone companies in different ways.
When Nov. 24 comes around, cell phone companies will be vying to attract customers that are dissatisfied with their current service. Fallon said this “gives consumers additional freedom and flexibility” along with the “ability to get more benefits from carriers.”
Carey Vitrano, an english sophomore, said she “could see how it would make others more likely to switch.”
“There wouldn’t be all the complications,” she said.
Duane Heathman, manager of the Sherwood Forest Verizon Wireless store, said he doesn’t think it will be “a competitive, bring-prices-down situation.”
Stephen Knox, assistant manager of the Sherwood Forest Sprint store, said cell phone companies will have to make many changes to accommodate the effects of the new rule.
“It’s going to hurt them at first,” he said. Knox said people will be “bouncing around” from carrier to carrier while they try to find the best deals.
The number of customers who are going to switch because of the FCC ruling is not known. Fallon said “there are a lot of estimates out there” but the FCC has not made any.
This could be a major cost to wireless companies. Knox said it takes eight months to make up the money a cell phone company spends when it initially starts an account. When people change companies, this money is lost forever.
Heathman said the change is “not really going to affect [cell phone companies] too negatively.” He also said consumers will switch back and forth, but he did not foresee too much of an effect.
Fallon said cell phone companies will have to pay for software upgrades, setting up databases, and employee training to prepare for the change.
Heathman said Verizon “has the most to gain” locally because they are fairly new to the Baton Rouge area. According to a September J.D. Power and Associates survey, Verizon Wireless ranked the highest in customer satisfaction in five of the six regions of the country.
Heathman said the companies that are going to suffer are the “under-the-bar” carriers.
FCC vindicates consumers
October 12, 2003