The Federal Trade Commission has approved a $69 million settlement with Frontier Communications over allegations that the tech company misrepresented internet service speeds to customers in Riverside and Los Angeles counties, officials said Thursday.
The agreement ends a civil suit alleging deceptive marketing practices by Frontier in the sale of home internet services, Riverside County Attorney Mike Hestrin said in a statement.
Frontier does not admit wrongdoing. The settlement requires Frontier to pay nearly $9 million in penalties and build up to $60 million in fiber-optic internet infrastructure in Southern California, according to the release. (backslash)
It now goes to the United States District Court for final approval.
The negotiated settlement will prohibit Frontier from distorting internet service speeds, “provisioning” or “capping” internet speeds below certain thresholds, according to Hestrin’s statement.
Border officials did not immediately respond to an email Thursday seeking comment on the settlement.
The investigation and prosecution of the case was led by the Riverside and Los Angeles County District Attorneys, in conjunction with the Federal Trade Commission.