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Verizon to Stop Automatic Phone Unlocking After FCC Ends Consumer-Friendly 60-Day Rule

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  • Post last modified:January 13, 2026

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The Federal Communications Commission (FCC) has officially revised a long-standing rule, giving Verizon permission to keep customers’ phones locked for a longer period after purchase — a change that is likely to reshape how Americans switch carriers and raise serious questions about consumer choice in the U.S. wireless market.

In a move that has already sparked significant debate among consumers, tech advocates, and industry players, the FCC’s decision removes the once unique requirement that Verizon automatically unlock devices after 60 days of activation. Previously, Verizon stood out in the U.S. for offering comparatively early unlocking — a policy that helped customers retain flexibility and reduce barriers when switching to other networks. That era is now coming to an end.

What Changed: FCC Rule Adjustment Explained

Under the previous policy, Verizon was obligated by the FCC to unlock devices 60 days after activation, a mandate that dated back to conditions tied to spectrum purchases in the mid-2000s. This requirement set Verizon apart from other major carriers, which often keep devices locked until they are fully paid off or even longer.

But in the latest regulatory update, the FCC has eliminated that automatic 60-day unlocking rule. The decision means Verizon can likely extend its standard lock period so that phones remain tied to its network for longer periods — potentially aligning with or exceeding the timelines of competitors like AT&T and T-Mobile.

This revision moves Verizon toward standard industry practice rather than a consumer-friendly exception. The FCC chairman noted that the goal was to address so-called fraud loopholes associated with early unlocking, which some carriers argue have allowed stolen or subsidized devices to be diverted into illicit markets abroad.

Why Verizon and the FCC Say This Is Necessary

Verizon and FCC supporters argue that the change isn’t anti-consumer but rather a necessary adaptation to evolving risks in mobile markets.

According to reporting from Reuters and other outlets, Verizon presented data showing hundreds of thousands of devices were being stolen shortly after purchase and shipped overseas, costing carriers millions of dollars.

Verizon’s argument is straightforward: phone unlock rules that permitted access as early as 60 days after activation helped organized criminal groups target high-value smartphones. The carrier and FCC officials have suggested that extending lock periods aligns with broader industry safeguards, similar to rules already in place with other major U.S. carriers.

Proponents say the FCC’s revised policy will reduce fraud, protect wireless networks, and help stabilize market conditions where subsidized devices are part of promotional offerings.

However, experts caution this claimed “fraud prevention rationale” is not universally accepted, and critics note that most fraud mitigation happens outside of carrier unlock windows through other security measures. Critics argue the FCC has framed what is essentially a pro-industry deregulation move in the language of fraud control.

Consumer Backlash: Choice, Fairness, and Market Competition

Despite the FCC’s stated rationale, consumer groups and customers have vehemently opposed this change, arguing it prioritizes corporate interests over individual rights.

For years, the ability to unlock phones shortly after activation made it easier for Americans to switch carriers, compare plans, or use international services such as travel eSIMs. With the removal of the automatic 60-day window, that ease of movement is now diminished unless Verizon or another carrier agrees to unlock a device on request.

Many consumers feel that once you buy a phone — even if financed — you should retain full control over it. Instead, the new rule could tether users to Verizon’s network much longer than before, unless they navigate a bureaucratic unlocking process. Industry observers warn this will lock in customers, reduce competition, and weaken price pressures on wireless plans.

One user victory highlights the tension in the broader issue: a Verizon customer successfully sued the carrier after being denied an unlock under retroactively changed policies, showing how deeply these rules affect everyday consumers.

Consumer advocates have also pointed out that locking devices longer may unfairly impact low-income customers, travelers, and those seeking better service deals elsewhere, creating a wireless ecosystem where consumers have fewer options and less flexibility.

Industry Reaction: Carriers, Competition, and National Standards

Responses from other carriers and industry players have been mixed.

For example, Dish — parent company of Boost Mobile — responded to Verizon’s request by advocating for a single national unlocking standard, rather than allowing unilateral carrier policies. Dish’s stance suggests that if the FCC changes one rule, it should apply uniformly to all carriers to maintain fairness and clarity.

Other major carriers like AT&T and T-Mobile have been comparatively quiet in the public record about this specific decision, but their existing policies already tend to lock devices until they are paid off — sometimes up to 12 months for prepaid devices, or longer depending on payment agreements.

The telecom industry’s broader debate reflects tensions between consumer flexibility and corporate control. On one side, carriers stress security, fraud prevention, and market efficiency. On the other, critics emphasize user rights, portability, competitive pricing environment, and innovation in wireless services.

What This Means for You: Practical Effects on Customers

So, how will this shifted policy really affect everyday smartphone users?

Harder Carrier Switching

Under the new framework, Verizon customers may not be able to automatically unlock their devices after just two months — meaning if you bought a subsidized phone and want to switch to another carrier offering better rates or coverage, you’ll face more hurdles than before.

Unpredictable Timelines

With the 60-day rule gone, Verizon could set its own timeframe for unlocking, which might depend on factors like whether you have fully paid off the device or how long you’ve been a customer. This adds uncertainty to when — or if — your device becomes usable on another network.

Second-Hand and Resale Market Impact

Unlocked phones are a foundation for healthy resale markets. When fewer phones become unlocked quickly, the resale market shrinks and locked devices dominate used sales, potentially reducing choice and increasing prices for buyers who prefer unlocked phones.

Travel and Flexibility

If you frequently travel internationally and rely on eSIMs or local prepaid plans abroad, locked phones reduce your ability to seamlessly switch carriers when abroad — increasing costs and inconvenience.

Broader Policy Implications: What Comes Next

The FCC’s decision is likely to influence future regulatory approaches to wireless competition, consumer protections, and spectrum policy. Telecommunications policy watchers see this as part of a larger pattern in which the commission leans toward industry deference over prescriptive consumer rules.

This change may also prompt more public engagement, as consumer advocacy groups call for clearer guidelines, formal rule-making processes, and legislative actions to protect unlocking rights nationwide.

If policymakers decide that such rules are essential for competition, we could see future laws or regulations that ensure uniform unlocking windows or more robust consumer protections — perhaps inspired by prior federal acts like the Unlocking Consumer Choice and Wireless Competition Act, which historically supported device unlocking rights.

A Turning Point for Wireless Consumers

The FCC’s recent decision to let Verizon lock phones for longer periods marks a pivotal moment in U.S. wireless policy. While regulators and carriers argue it’s a necessary move to combat fraud, the impact — more restricted consumer choice, harder carrier switching, and potential ripples across device resale markets — cannot be ignored.

As Verizon and other carriers adapt to this new framework, consumers should stay informed, understand their rights, and consider purchasing unlocked devices directly if flexibility is a priority. Advocacy efforts may also intensify, pushing for clearer standards that balance fraud prevention with fair access and competition.

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