Cell Phone companies suing the FCC

The Federal Communications Commission adopted a rule in 1996 that would allow cell phone… The Federal Communications Commission adopted a rule in 1996 that would allow cell phone customers to keep the same phone number if they switched carriers, like landline customers can when they move.

Because of industry pressure, the FCC has delayed enforcing the rule three times since it initially adopted it. Now, cellular representatives have taken the FCC to court to halt the rule from ever being enforced, saying portable numbers are not needed because the industry is competitive enough and that portable numbers would cause carriers to lose business.

Wireless phone companies need to accept the FCC’s customer- and competition-friendly rule, which has been in place in Britain, Spain and Australia without collapsing the entire industry, or even damaging it very much.

The Yankee Group, a market research firm, estimates it would cost each carrier $50 million to be able to accommodate portable numbers. Cell phones are the fastest growing sector of telecommunications today – $50 million is not a prohibitive sum.

Cell phones are no longer a novelty. Perhaps in 1996, when the rule was first adopted, carriers needed all the help they could get to retain customers in this brave new medium of communication, but this is no longer the case. Cell phones are approaching ubiquity, so competition must be encouraged.

Without portable numbers, customers are denied the chance to take advantage of new companies or better deals. Customers see plans that would suit them better, but remain with their original carrier to avoid the hassle of switching numbers. This runs counter to the notion of healthy competition. People stick with an inferior product, when a superior one is available, to avoid a bother that could easily be remedied.

For the growing number of cell-phone-only customers without any landlines, a switch in cell numbers could, at least temporarily, put them off the grid completely.

Currently, carriers monopolize certain exchanges, which means that any savvy, nosy person can easily tell which company a person uses. While not catastrophic, this does represent another small loss of privacy. Portable numbers would make this a non-issue.

It’s refreshing to see the FCC, usually so conservative and industry-driven, attempting to adopt a rule that would be so helpful to private individuals. Here’s hoping it sticks to its guns.