Last week, we confirmed plans to make FaceTime available over our mobile broadband network for our AT&T Mobile Share data plan customers.

FaceTime is a video chat application that has been pre-loaded onto every AT&T iPhone since the introduction of iPhone 4.  Customers have been using this popular app for several years over Wi-Fi.  AT&T does not have a similar preloaded video chat app that competes with FaceTime or any other preloaded video chat application.  Nonetheless, in another knee jerk reaction, some groups have rushed to judgment and claimed that AT&T’s plans will violate the FCC’s net neutrality rules.  Those arguments are wrong.

Providers of mobile broadband Internet access service are subject to two net neutrality requirements: (1) a transparency requirement pursuant to which they must disclose accurate information regarding the network management practices, performance, and commercial terms of their broadband Internet access services; and (2) a no-blocking requirement under which they are prohibited, subject to reasonable network management, from blocking applications that compete with the provider’s voice or video telephony services.

AT&T’s plans for FaceTime will not violate either requirement.  Our policies regarding FaceTime will be fully transparent to all consumers, and no one has argued to the contrary.  There is no transparency issue here.

Nor is there a blocking issue.  The FCC’s net neutrality rules do not regulate the availability to customers of applications that are preloaded on phones.  Indeed, the rules do not require that providers make available any preloaded apps.  Rather, they address whether customers are able to download apps that compete with our voice or video telephony services.   AT&T does not restrict customers from downloading any such lawful applications, and there are several video chat apps available in the various app stores serving particular operating systems. (I won’t name any of them for fear that I will be accused by these same groups of discriminating in favor of those apps.  But just go to your app store on your device and type “video chat.”)  Therefore, there is no net neutrality violation.

Although the rules don’t require it, some preloaded apps are available without charge on phones sold by AT&T, including FaceTime, but subject to some reasonable restrictions.  To date, all of the preloaded video chat applications on the phones we sell, including FaceTime, have been limited to Wi-Fi.  With the introduction of iOS6, we will extend the availability of the preloaded FaceTime to our mobile broadband network for our Mobile Share data plans which were designed to make more data available to consumers.  To be clear, customers will continue to be able to use FaceTime over Wi-Fi irrespective of the data plan they choose.  We are broadening our customers’ ability to use the preloaded version of FaceTime but limiting it in this manner to our newly developed AT&T Mobile Share data plans out of an overriding concern for the impact this expansion may have on our network and the overall customer experience.

We will be monitoring the impact the upgrade to this popular preloaded app has on our mobile broadband network, and customers, too, will be in a learning mode as to exactly how much data FaceTime consumes on those usage-based plans.  We always strive to provide our customers with the services they desire and will incorporate our learnings from the roll-out of FaceTime on our mobile broadband network into our future service offerings.

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