AT&T Told to Stop Using '5G Evolution' in Marketing
May 20 2020 - 7:57PM
Dow Jones News
By Nat Ives
AT&T Inc. will stop using the slogans "5G Evolution" and "5G
Evolution, The First Step to 5G" in its marketing after losing an
appeal with a self-regulatory group, but suggested that it will
continue to display "5GE" icons on customers' phones.
T-Mobile US Inc. had successfully challenged AT&T's "5G
Evolution" marketing with the National Advertising Division unit of
BBB National Programs, prompting an appeal by AT&T.
But the National Advertising Review Board, the appellate body
for BBB National Programs' ad self-regulation program, agreed with
the earlier finding.
"The NARB panel determined that both claims will mislead
reasonable consumers into believing that AT&T is offering a 5G
network and recommended that the claims be discontinued," the board
said. "At NAD and on appeal, it was not disputed that the AT&T
network is not a 5G network."
AT&T disagrees with the reasoning but will comply with the
ruling as a supporter of the self-regulatory process, a spokesman
said. BBB National Programs is an independent nonprofit
organization that focuses on industry and business self-regulation.
The group separated in 2019 from the Better Business Bureau, which
primarily addresses relationships between businesses and their
customers.
Asked whether AT&T will keep showing "5GE" on phones, the
spokesman said the decision only applies to its ads.
The company has previously argued that it introduced the 5G
Evolution idea as a first step in the transition to the next
generation of wireless networks.
Telecom companies have been battling to convince customers that
each will be first with nationwide 5G, which they say will offer
much faster speeds, and have contested rivals' assertions on the
subject.
AT&T previously challenged claims in two commercials from
Verizon Communications Inc. that said Verizon is "building the most
powerful 5G experience for America." The National Advertising
Division last week said Verizon should discontinue the claim
because the company hadn't produced supporting evidence.
Verizon is appealing a portion of the decision.
Sprint Corp. in February 2019 sued AT&T over its 5G
marketing, alleging false advertising. The lawsuit was settled in
April 2019, according to a spokeswoman for T-Mobile, which closed
its takeover of Sprint last month. She declined to elaborate.
Write to Nat Ives at nat.ives@wsj.com
(END) Dow Jones Newswires
May 20, 2020 19:42 ET (23:42 GMT)
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