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FCC Chairman Tom Wheeler Probes into Verizon Plan to Slow Data

Wireless carrier, Verizon, plans to slow data speeds for heavy data users on Verizon's unlimited data plans.

Chairman of the Federal Communications Commission, Tom Wheeler, said in a letter to Verizon (VZ) on Wednesday he is, "very troubled" by the wireless carrier's plan to slow data speeds for heavy data users on Verizon's unlimited data plans. In his letter addressed to Verizon President and CEO, Daniel Mean, Chairman Wheeler raised concerns over transparency to its customers. The FCC issued an enforcement advisory for the Open Internet Transparency Rule just over a week ago. The rule has been in effect since 2011 and it states that Broadband providers must disclose accurate information to protect consumers. Also in his letter, Chairman Wheeler raised concerns of discrimination against customers. He asked, "What is your rationale for treating customers differently based on the type of data plan to which they subscribe, rather than network architecture or technological factors?" FCC press secretary Kim Hart said she is not aware of a response from Verizon at this time. She said penalties range from $16,000 to $1.6 million dollars for any single act that violates commission rules or fails to comply with commission rules. TheStreet's Julie Cerullo reports.

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