West Virginia Attorney General Patrick Morrisey announced Frontier Communications has increased internet speeds for approximately 15 percent of customers impacted by its estimated $160 million settlement with West Virginia.
Frontier Communications entered into the settlement to resolve complaints about internet speeds provided to its customers. The agreement, announced in December 2015, marked the largest, independently negotiated consumer protection settlement in West Virginia history.
“Much work remains and my office will continue to monitor Frontier’s strict compliance with our settlement,” Attorney General Morrisey said. “This record-breaking agreement remains crucial to helping West Virginia reach her full potential and competing in this ever evolving digital environment.”
The multi-faceted agreement requires Frontier to invest at least $150 million in capital expenditures to increase internet speeds across West Virginia, lower monthly rates for affected consumers and contribute $500,000 to the state’s Consumer Protection Fund.
Frontier, to date, has spent $36.1 million in capital expenditures, funds which the company reports has increased internet speeds to 4,089 customers throughout West Virginia, according to the company’s most recent quarterly report filed with the Attorney General’s Office.
The Attorney General’s Office, between 2013 and 2015, received multiple complaints from customers paying for Frontier’s high-speed service, which advertised internet speeds up to 6 megabits per second.
Many consumers advised their Frontier service was slow or did not meet expectations. The subsequent investigation found many customers expecting internet speeds “up to 6 Mbps” frequently received speeds 1.5 Mbps or lower.
Frontier denied any allegation of wrongdoing and entered into the settlement to resolve disputed claims without the necessity of protracted and expensive litigation.
The settlement specifically required Frontier to invest $150 million in addition to its $180 million in planned upgrades as part of the federal government’s Connect America Fund II.
The discounted monthly rate set bills for approximately 27,500 affected customers at $9.99 – a reduction expected to cost Frontier $6.25 million per year, which will shrink with time as the discount remains in effect until mandated improvements allow Frontier to increase existing download speeds to meet its advertisement.
