AT&T and Cricket Take Phone Traffickers to Court
AT&T and its prepaid business Cricket Wireless are targeting cell phone traffickers with legal action. The company has filed lawsuits against several businesses and individuals suspected of trafficking new prepaid cellphones. Trafficked phones are typically purchased in bulk from AT&T or Cricket Wireless at a discount and then unlocked without permission by AT&T/Cricket. The buyers often discard the original packaging and sell the phones at higher prices to make a profit. AT&T says this practice "negates the subsidy that AT&T Prepaid and Cricket intended to benefit the consumer." The lawsuits, filed with the U.S. district court in New Jersey, target US Mobile Pros LLC and Maz Wireless, LLC.
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If AT&T doesn't want these devi...
"The company sells devices at a lower price (still more than they purchase them from the OEM"
They sell the devices for a subsidized price that is LOWER than the OEM price to the carrier.