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Cingular Forced To Stop TDMA Prepaid Sales

Article Comments  61  

Oct 18, 2005, 2:05 PM   by (staff)

Updated. A federal court today has ordered that Cingular and other carriers which use BCGI's prepaid management services must immediately halt selling prepaid phones. The court upheld earlier decisions from both local and federal courts that BCGI had violated Freedom Wireless' patents on pre-paid phone sales and management. Cingular must immediately stop selling TDMA prepaid service to new customers, but can continue providing service to current customers for 90 days. However Cingular and BCGI must pay Freedom 2.5 cents for every minute current subscribers use during that time. Although TDMA customers only account for a small portion of Cingular's prepaid business, Cingular's TDMA prepaid accounts for 70% of BCGI's business. The court also added legal files to the fine BCGI must pay Freedom Wireless, bringing the total to $148 million, further compounding economic toll on the company. BCGI has said it will now appeal the case to the US Court of Appeals - the highest authority for patent cases.

more info at Wireless Week »
more info at Reuters »



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Subject Author Date
Ouch! SmartAccessCCrep Oct 18, 2005, 2:12 PM
WTF!!!!!!! gtb_ajt Oct 21, 2005, 9:42 PM
uh oh, question: longbordr52 Oct 18, 2005, 7:57 PM
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