NEWS Federal Communications Commission 445 12 th Street, S.W. Washington, D. C. 20554 This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action. See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974). News Media Information 202 / 418-0500 Internet: http://www.fcc.gov TTY: 1-888-835-5322 For Immediate Release: News Media Contact: May 6, 2009 Rosemary Kimball at (202) 418-0511 e-mail: rosemary.kimball@fcc.gov QUARTERLY REPORT ON INFORMAL CONSUMER INQUIRIES AND COMPLAINTS RELEASED Washington, DC – The Commission has released its report on the top subject areas for inquiries and complaints processed by the Consumer & Governmental Affairs Bureau (CGB) during the fourth quarter of calendar year 2008. 2008 Fourth Quarter Inquiries. During this quarter, the total number of inquiries for all four reported categories increased more than 116%, from 102,079 in the 3 rd quarter of 2008 to 221,419 in the 4 th quarter of 2008. Notably, the number of Radio and Television Broadcasting inquiries increased more than 194%, from 61,404 in the 3 rd quarter to 180,949 in the 4 th quarter. The bulk of the Radio and Television Broadcasting inquiries, i.e., 85%, pertained to Digital Television Issues. Wireline inquiries decreased over 16% from 24,981 in the 3 rd quarter to 21,355 in the 4 th quarter. Telephone Consumer Protection Act (TCPA) inquiries constituted over 72% of the inquiries in this category. The number of Cable and Satellite Services inquiries increased more than 73%, as compared to the 3 rd quarter from 9,008 to 15,594. Inquiries regarding Digital Television Issues constituted 77% of the inquiries in this category. Wireless inquiries decreased more than 47% from 6,686 in the 3 rd quarter to 3,521 in the 4 th quarter. 2008 Fourth Quarter Complaints. During this quarter, complaints in the reported categories decreased over 28%, from 98,816 in the 3 rd quarter to 70,836 in the 4 th quarter of 2008. Most of the decrease occurred between the Radio and Television Broadcasting category where complaints decreased over 27% from 40,057 in the third quarter to 29,106 this quarter and in Wireline Telecommunications where complaints decreased from 39,546 in the third quarter to 27,160 this quarter. Cable & Satellite Services-related complaints decreased over 7% from 2,263 in the 3 rd quarter of 2008 to 2,097 in the 4 th quarter. Wireless complaints decreased 26% from 16,950 in the 3 rd quarter of 2008 to 12,464 in the 4 th quarter. TCPA issues comprised over 66% of the complaints in this category. Wireline complaints decreased in the 4 th quarter of 2008 to 27,160 from 39,546 in the 3 rd quarter of 2008. Telephone Consumer Protection Act - Other Issues, Telephone Consumer Protection Act - Do Not Call List and Telephone Consumer Protection Act – Unsolicited Fax ranked as the top categories of wireline complaints and when combined, totaled over 82% of the wireline-related complaints in the reported sub-categories. Yearly Comparisons and Trends: The number of inquiries in the top consumer subjects as reported in the quarterly reports dramatically increased from 111,678 in 2007 to 468,431 in 2008. The sub-categories in which notable increases were experienced in 2008, as compared to 2007, were: (1) DTV (Radio and Television Broadcasting), a 1,787% increase from 14,895 in 2007 to 281,168 in 2008; (2) TCPA (Wireline Telecommunications), a 157% increase from 25,971 in 2007 to 66,767 in 2008. The number of complaints in the top consumer subjects as reported in the quarterly reports has also increased from 278,812 in 2007 to 430,999 in 2008. The sub-categories in which there was a substantial increase in 2008, as compared to 2007, were: (1) Programming – Indecency/Obscenity (Radio and Television Broadcasting), where there was a 35% increase from 154,626 in 2007 to 210,190 in 2008; (2) TCPA (Wireline Telecommunications), a 65% increase from 73,209 in 2007 to 120,812 in 2008. The Commission receives many inquiries and complaints that do not involve violations of the Communications Act, or a rule or order of the Commission. The existence of a complaint does not necessarily indicate wrongdoing by the company at issue. The quarterly report on informal consumer inquiries and complaints release can be viewed at: http://www.fcc.gov/cgb/quarter/welcome.html. - FCC - REPORT ON INFORMAL CONSUMER INQUIRIES AND COMPLAINTS 4 th Quarter Calendar Year 2008 Executive Summary This report tracks the top subject areas for consumer inquiries and complaints received during the 4 th quarter of calendar year 2008 and processed by the Consumer & Governmental Affairs Bureau (CGB). i Inquiries are defined as correspondence or communications received at the Commission from individuals seeking information on matters under the FCC’s jurisdiction. An informal consumer complaint is defined as a communication received at CGB’s consumer centers either via postal mail, fax, email, internet, or telephone from or on behalf of an individual that: (i) identifies a particular entity under the FCC’s jurisdiction; (ii) alleges harm or injury; and (iii) seeks relief. 2008 Fourth Quarter Inquiries. During this quarter, the total number of inquiries for all four reported categories increased more than 116%, from 102,079 in the 3 rd quarter of 2008 to 221,419 in the 4 th quarter of 2008. Notably, the number of Radio and Television Broadcasting inquiries increased more than 194%, from 61,404 in the 3 rd quarter to 180,949 in the 4 th quarter. The bulk of the Radio and Television Broadcasting inquiries, i.e., 85%, pertained to Digital Television Issues. Wireline inquiries decreased over 16% from 24,981 in the 3 rd quarter to 21,355 in the 4 th quarter. Telephone Consumer Protection Act (TCPA) inquiries constituted over 72% of the inquiries in this category. The number of Cable and Satellite Services inquiries increased more than 73%, as compared to the 3 rd quarter from 9,008 to 15,594. Inquiries regarding Digital Television Issues constituted 77% of the inquiries in this category. Wireless inquiries decreased more than 47% from 6,686 in the 3 rd quarter to 3,521 in the 4 th quarter. 2008 Fourth Quarter Complaints. During this quarter, complaints in the reported categories decreased over 28%, from 98,816 in the 3 rd quarter to 70,836 in the 4 th quarter of 2008. Most of the decrease occurred between the Radio and Television Broadcasting category where complaints decreased over 27%from 40,057 in the third quarter to 29,106 this quarter and in Wireline Telecommunications where complaints decreased from 39,546 in the third quarter to 27,160 this quarter. Cable & Satellite Services-related complaints decreased over 7% from 2,263 in the 3 rd quarter of 2008 to 2,097 in the 4 th quarter. Wireless complaints decreased 26% from 16,950 in the 3 rd th quarter of 2008 to 12,464 in the 4 quarter. TCPA issues comprised over 66% of the complaints in this category. Wireline complaints decreased in the 4 th quarter of 2008 to 27,160 from 39,546 in the 3 rd quarter of 2008. Telephone Consumer Protection Act - Other Issues, Telephone Consumer Protection Act - Do Not Call List and Telephone Consumer Protection Act – Unsolicited Fax ranked as the top categories of wireline complaints and when combined, totaled over 82% of the wireline-related complaints in the reported sub-categories. - 1- - 2 - Yearly Comparisons and Trends: The number of inquiries in the top consumer subjects as reported in the quarterly reports dramatically increased from 111,678 in 2007 to 468,431 in 2008. The sub-categories in which notable increases were experienced in 2008, as compared to 2007, were: (1) DTV (Radio and Television Broadcasting), a 1,787% increase from 14,895 in 2007 to 281,168 in 2008; (2) TCPA (Wireline Telecommunications), a 157% increase from 25,971 in 2007 to 66,767 in 2008. The number of complaints in the top consumer subjects as reported in the quarterly reports has also increased from 278,812 in 2007 to 430,999 in 2008. The sub-categories in which there was a substantial increase in 2008, as compared to 2007, were: (1) Programming – Indecency/Obscenity (Radio and Television Broadcasting), where there was a 35% increase from 154,626 in 2007 to 210,190 in 2008; (2) TCPA (Wireline Telecommunications), a 65% increase from 73,209 in 2007 to 120,812 in 2008. The Commission receives many inquiries and complaints that do not involve violations of the Communications Act, or a rule or order of the Commission. The existence of a complaint does not necessarily indicate wrongdoing by the company at issue. The quarterly report on informal consumer inquiries and complaints release can be viewed at: http://www.fcc.gov/cgb/quarter/welcome.html. i The data reported reflects the complaints and inquiries recorded in CGB’s automated tracking systems for the period October 1, 2008 to December 31, 2008. The information generated for this specific report is information entered into the tracking systems on or before a specific date. In addition, the data within this report account for statistics at the national level as reported by the Commission and, therefore, are not necessarily indicative of corresponding state or local trends. - 3 - REPORT ON INFORMAL CONSUMER INQUIRIES AND COMPLAINTS 4 th Quarter Calendar Year 2008 Top Consumer Issues – Subject Category Reference Guide CABLE & SATELLITE SERVICES Billing & Rates Issues: Complaints/inquiries concerning billing matters and the rates charged for cable programming service (or expanded basic) tier on a cable system or satellite services Carrier Marketing & Advertising: Complaints/inquiries regarding advertising and marketing practices of carriers including alleged misrepresentations Digital Television Issues: Complaints/inquiries concerning digital TV service or the transition to digital TV Disability & Access Related Issues: Complaints/inquiries regarding video description, closed captioning, and emergency access to video programming Over-The-Air Reception Devices (OTARD) Issues: Complaints/inquiries regarding the installation, maintenance or use of antennas -- including direct-to-home satellite dishes that are less than one meter (39.37") in diameter (or of any size in Alaska), TV antennas, and wireless cable antennas -- to receive video programming Programming Issues: Complaints/inquiries regarding program content or the choice of channels or programs available to subscribers Satellite Home Viewer Improvement Act (SHVIA) Issues: Complaints/inquiries regarding SHVIA issues Service-Related Issues: Complaints/inquiries about the quality of service provided by cable operators or satellite programming distributors RADIO & TELEVISION BROADCASTING Broadcast Programming Issues: Complaints/inquiries related to general over-the-air programming issues Carrier Marketing & Advertising: Complaints/inquiries regarding advertising and marketing practices of carriers including alleged misrepresentations - 4 - Digital Television Issues: Complaints/inquiries concerning digital TV service or the transition to digital TV Disability & Access Related Issues: Complaints/inquiries regarding video description, closed captioning, and emergency access to video programming Equipment-Related Issues: Complaints/inquiries dealing with equipment-related items such as antennas and set-top boxes Interference: Complaints/inquiries regarding unwanted signals from nearby transmitters to home entertainment electronic equipment License Information (General): Inquiries regarding broadcast station license, transfer of control, frequency assignment, sale and transfer and other general broadcast license issues. Programming Issues • Indecency/Obscenity: Complaints/inquiries regarding programs that allegedly contain obscene, indecent or profane material • General Criticism: Generalized concerns regarding the content of programs • Other Programming Issues: Miscellaneous programming issues WIRELESS TELECOMMUNICATIONS Amateur License Information: Inquiries regarding Amateur license acquisition, requirements, eligibility, and replacement Billing & Rates – Includes the Following Subcategories: Billing/Rates - Airtime Charges: Complaints/inquiries regarding charges to subscriber for actual time spent talking on a wireless phone Billing/Rates - Credit/Refunds/Adjustments: Complaints/inquiries regarding credits, refunds, or bill adjustments Billing/Rates - Line Items: Complaints/inquiries regarding surcharges and taxes appearing on a phone bill • Access Charge: Complaints/inquiries regarding miscellaneous line items charges • E-911: Complaints/inquiries regarding provision of automatic location information and automatic number identification via a wireless phone used to contact a 911 call center • Taxes: Complaints/inquiries regarding taxes appearing on wireless bill - 5 - • Universal Service: Complaints/inquiries about the availability and affordability of phone service for low income consumers in geographic areas where the costs of providing telephone service is high Billing/Rates - Recurring Charges: Complaints/inquiries over recurring monthly charges that appear on a customer’s bill Billing/Rates - Roaming Rates: Complaints/inquiries about charges assessed to the subscriber for wireless calls made while roaming in another carrier’s territory Billing/Rates - Rounding: Complaints/inquiries about the practice of rounding calls to a full minute Billing/Rates - Service Plan Rate: Complaints/inquiries about the terms and conditions of service • Activation Fee: usually a one-time charge to initiate service • Off-Peak: specified time where per-minute rate is lower • Optional Services: including caller-id, voice mail, road-rescue, etc. • Peak: specified time where per-minute rate is higher • Prepaid Service: subscriber pays for service in advance • Promo Plan: including minute allowances • Security Deposit: usually a one-time charge that is held by the carrier for a specified timeframe in order for subscriber to acquire service Carrier Marketing & Advertising: Complaints/inquiries regarding advertising and marketing practices of carriers including alleged misrepresentations Contract – Early Termination: Complaints/inquiries regarding termination of a subscriber’s service prior to end of specified contract term • Termination of Service by subscriber: subscriber’s liability for terminating service prior to specified contract term • Termination of Service by carrier: carrier’s right to disconnect a subscriber’s service prior to end of a specified contract term Equipment Related Issues: Complaints/inquiries dealing with equipment-related items Interference: Inquiries regarding unwanted signals from nearby transmitters to wireless communications equipment License Information (General): Inquiries regarding General Mobile Radio Services license acquisition, requirements, eligibility, cancellation, frequency coordination, replacement and other general license related issues Service Related Issues: Complaints/inquiries regarding quality of service or the lack of coverage within a geographic area served by a wireless provider - 6 - • Dead Spots: inability to receive service within certain areas • Dropped Calls: premature termination of calls • Home Area Service: overall quality of service within the subscriber’s local calling area • Network Busy Signal: involving calls that do not go through because of overcrowding of the service frequencies • Roaming Availability: availability of service outside the subscriber’s local calling area • Roaming Service: overall quality of service while roaming • Service Interruption: inability to use cellular phone because service was interrupted by service provider Telephone Consumer Protection Act (TCPA): Complaints/inquiries regarding compliance with the TCPA requirements applicable to wireless telecommunications Tower Related Issues: Complaints/inquiries involving light outages, paint, posting, zoning and registration WIRELINE TELECOMMUNICATIONS Billing & Rates – Includes the Following Subcategories: Billing/Rates Credit/Refunds/Adjustments: Complaints/inquiries about credits, refunds, or adjustments allegedly owed to the subscriber Billing/Rates – Line Item: Complaints/inquiries about the line items appearing on telephone bills • Access – Subscriber Line Charge: questions regarding subscriber local-loop line charges for maintaining residential and business and telephone access to the network • Access – Universal Service: questions regarding the FCC’s universal service fund- affordable access to basic telephone service for low-income consumers and consumers in high-cost areas, and communications services for schools and libraries and health care facilities • Interstate Directory Assistance: questions about charges assessed for access to directory assistance information • Taxes on Telephone Bill: questions about local, state, or federal taxes appearing on a telephone bill • Truth in Billing - No Service Provider ID: Complaints/inquiries about whether the name of the service provider and/or contact information for the service provider is easily identifiable on the bill • Truth in Billing - Bundled Charges: Complaints/inquiries about whether bills contain plain language description and breakdown of charges for each carrier when multiple carriers appear on the bill - 7 - • Truth in Billing - No Payment Solution: Complaints/inquiries about whether a bill clearly distinguishes charges for which nonpayment will result in disconnection from those that will not result in disconnection Billing/Rates – Rates: Miscellaneous complaints/inquiries about the rates and charges billed by telephone companies • Casual Call Billing: rates billed for calls placed from non-public phones through a carrier who is not the presubscribed carrier for the telephone (or which does not recognize a telephone number as that of a subscriber) • Double Billing: dispute involving alleged double billing for calls or services • DSL Rate Problem: DSL promotion plan rates allegedly altered or unspecified to consumer • International Internet Dial-up: international calls (routed to places like Chad, Madagascar or other countries) that were billed to consumers as a result of using local (domestic) Internet service providers to access websites • International Calls – Rates: international calls, rates and/or service that either originate or terminate in the U.S. • International 809# Billing: 809 area code collect call and consumer dialing scam • 900 Pay-Per-Call Billing: commercially provided interstate 900 number information or entertainment services • OSP Rates: rates charged for interstate calls placed from public phones • Rates for Interstate Telecommunications Services – Billing: disputes about interstate rates and charges Billing/Rates – Recurring Charges: Complaints/inquiries about recurring charges that appear on a customer’s bill Carrier Marketing & Advertising: Complaints/inquiries regarding advertising and marketing practices of carriers including alleged misrepresentations Cramming: Complaints/inquiries about allegedly unauthorized, misleading, or deceptive charges appearing on a telephone bill Number Portability: Complaints/inquiries regarding number portability Service Quality: Complaints/inquiries regarding the quality of service provided by telephone companies • DSL Service Inadequate: poor quality of service or service outage • Interstate Telecommunications: poor call reception, service outage, service disconnects, or carrier’s failure to release telephone line (and no charges are associated) • Long Distance Service Treatment: inadequate customer service treatment by long distance carrier including, but not limited to, additional services being added without the consumer’s knowledge or approval, etc. - 8 - Slamming: Complaints/inquiries regarding the practice of changing a subscriber’s telecommunications service provider (or a calling plan) without the subscriber’s permission • International slam: changing a subscriber’s international long distance service without permission • Local Service slammed: changing a subscriber’s local or regional intrastate long distance service without permission • Local and Long Distance slammed: changing a subscriber’s local and long distance service without permission • Long Distance slammed: changing a subscriber’s interstate telephone company service without permission • Slamming w/Problem LOA: changing a subscriber’s interstate telephone company based on fraudulent signed documents or illegal format, such as sweepstake Telephone Consumer Protection Act (TCPA) Issues: Complaints/inquiries regarding compliance with TCPA • Do Not Call List: any telephone solicitation to a residential telephone subscriber who has requested not to receive telephone solicitations • Unsolicited Fax: unsolicited (“junk”) faxes or the use of a computer or other device to send any messages via a telephone facsimile • Other Issues: Complaints/inquiries dealing with all other aspects of TCPA except Do Not Call List and Junk Fax Universal Service Issues: Complaints/inquiries regarding contribution methodology, general information, rural health care and calculation increases October November December Quarter Totals Cable & Satellite Services Disability & Access Related Issues 16 14 22 52 Service Related Issues 92 80 149 321 Over-the-Air Reception Devices Issues 186 141 122 449 Satellite Home Viewer Improvement Act Issues 171 153 183 507 Programming Issues 188 174 243 605 Billing & Rates Issues 427 508 625 1,560 Digital Television Issues 3298 3273 5529 12,100 Totals 4,378 4,343 6,873 15,594 October November December Quarter Totals Radio and Television Broadcasting Disability & Access Related Issues 67 46 78 191 Interference 94 92 99 285 Carrier Marketing & Advertising 95 115 106 316 Broadcast Programming Issues 690 770 712 2,172 License Information (General) 760 847 819 2,426 Equipment Related Issues 5,385 5,470 10,931 21,786 Digital Television Issues 36,439 41,469 75,865 153,773 Totals 43,530 48,809 88,610 180,949 October November December Quarter Totals Wireless Telecommunications Amateur License Information 58 51 51 160 License Information (General) 162 10 130 302 Tower Related Issues 185 90 78 353 Billing & Rates 214 145 251 610 Service Related Issues 316 317 317 950 Interference 402 335 409 1,146 Totals 1,337 948 1,236 3,521 October November December Quarter Totals Wireline Telecommunications Number Portability 103 89 125 317 Universal Service Issues 197 164 160 521 Billing & Rates 339 315 329 983 Slamming 540 424 450 1,414 Cramming 973 771 906 2,650 Telephone Consumer Protection Act Issues 6,454 4,680 4,336 15,470 Totals 8,606 6,443 6,306 21,355 Notes: Summary of Top Consumer Inquiry * Subjects Processed by the FCC's Consumer & Governmental Affairs Bureau (CGB) ** The inquiries figures in this report represent volume for the categories and sub-categories listed in this report only and are not inclusive of all inquiries for all categories handled by the FCC. (2) The data within this report account for statistics at the national level as reported to the Commission, and therefore are not necessarily indicative of corresponding state and local trends. * An inquiry is defined as any correspondence or communication received at CGB’s Consumer Centers from individuals seeking information on matters under the FCC’s jurisdiction. (1) See attachment for brief description of subject categories. Fourth Quarter - Calendar Year 2008 October November December Quarter Totals Cable & Satellite Services Disability & Access Related Issues 14 7 11 32 Digital Television Issues 31 67 56 154 Carrier Marketing & Advertising 103 116 96 315 Service Related Issues 91 120 107 318 Billing & Rates Issues 169 143 175 487 Programming Issues 231 279 281 791 Totals 639 732 726 2,097 October November December Quarter Totals Radio and Television Broadcasting Disability & Access Related Issues 10 17 23 50 Carrier Marketing & Advertising 47 36 33 116 Programming - General Criticism 153 90 68 311 Digital Television Issues 232 199 283 714 Other Programming Issues 479 416 277 1,172 Programming - Indecency/Obscenity** 16,195 9,794 754 26,743 Totals 17,116 10,552 1,438 29,106 October November December Quarter Totals Wireless Telecommunications Carrier Marketing & Advertising 86 83 99 268 Equipment Related Issues 123 120 97 340 Contract - Early Termination 184 155 162 501 Service Related Issues 200 182 178 560 Billing & Rates 914 728 847 2,489 Telephone Consumer Protection Act 2,882 2,635 2,789 8,306 Totals 4,389 3,903 4,172 12,464 October November December Quarter Totals Wireline Telecommunications Carrier Marketing & Advertising 134 126 123 383 Cramming 186 174 144 504 Service Quality 267 203 220 690 Billing & Rates 1,165 974 1,076 3,215 Telephone Consumer Protection Act-Unsolicited Fax 2,869 1,963 1,977 6,809 Telephone Consumer Protection Act - Do Not Call List 2,802 2,084 2,234 7,120 Telephone Consumer Protection Act -Other Issues 3,321 2,460 2,658 8,439 Totals 10,744 7,984 8,432 27,160 (1) See attachment for brief description of subject categories. (2) The data within this report account for statistics at the national level as reported to the Commission, and therefore are not necessarily indicative of corresponding state or local trends. Processed by the FCC's Consumer & Governmental Affairs Bureau (CGB) Summary of Top Complaint * Subjects Fourth Quarter - Calendar Year 2008 Notes: ** The number of programming complaints assigned to each of the programming sub-categories is based on initial processing. The distribution of programming complaints among the sub-categories may change upon further review. Complaints regarding alleged indecency/obscenity/profanity during specific programs are forwarded to the Enforcement Bureau (EB) for appropriate handling. The number of Programming complaints reported here reflects complaints received by CGB, complaints received separately by EB, and complaints emailed directly to the offices of the FCC Chairman and the respective offices of the Commissioners. The reported counts may include duplicate complaints or contacts that subsequently are determined insufficient to constitute actionable complaints. * An informal consumer complaint is defined as any correspondence or communication received at CGB’s Consumer Centers either via postal mail, fax, electronic mail (e-mail) or telephone from or on behalf of an individual that : (I) identifies a particular entity under the FCC’s jurisdiction; (ii) alleges harm or injury; and (iii) requests relief. The complaint figures in this report reflect selected categories of complaints -- namely, the top complaint subjects -- and are not inclusive of all complaints handled by the FCC.