U.S. Winds Down Probe Into Wireless Carriers Over eSIM Technology

By Drew FitzGerald 

The U.S. Justice Department is winding down its antitrust probe into whether U.S. wireless carriers steered technical standards to make it harder for customers to switch providers, suggesting it is unlikely to file charges in the matter.

The department in 2018 demanded information from AT&T Inc., Verizon Communications Inc. and other U.S. companies as well as from GSMA, the international trade group that manages eSIM standards.

Smartphones with an eSIM, or embedded subscriber identity module, let users store multiple carrier profiles on the same device. That makes it easy to switch between their networks, though only one can be used at a time.

Smartphones with eSIMs are common in many countries but less often used in the U.S. The government's inquiry focused on whether American telecom companies might have steered the GSMA's standards-writing process by making it harder for subscribers to switch wireless companies. The department's 2018 inquiry revived a previous information-gathering process that had wrapped up in 2016.

Apple Inc. and Google owner Alphabet Inc., which make devices with eSIM technology, pushed for more leeway to design smartphones with flexible SIMs.

The Justice Department recently issued a letter to GSMA that said the London-based group's current way of managing eSIM standards would comply with antitrust law.

GSMA, for its part, promised to include companies from more than one industry in its standards-setting working groups, a move that could give smartphone makers more influence over how eSIM specifications evolve.

AT&T and Verizon previously said they were cooperating with the U.S. probe.

Write to Drew FitzGerald at [e-mail]

(END) Dow Jones Newswires

November 27, 2019 11:26 ET (16:26 GMT)

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