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FCC scraps Verizon’s 60-day phone unlock rule, citing rising theft and fraud

Verizon customers will soon see an important change in how their mobile phones work across different networks. The Federal Communications Commission (FCC) has decided to end a long-standing rule that required Verizon to automatically unlock phones after 60 days. This move gives Verizon more freedom to keep phones locked for longer periods, similar to other major wireless carriers in the United States.

The decision has raised concerns among consumer groups, competition advocates, and customers who value flexibility. At the same time, Verizon and the FCC argue that the change is necessary to reduce fraud and illegal phone trafficking. Here is a clear and simple breakdown of what happened, who is involved, and what it means for users.

FCC Approves Verizon’s Request to End Automatic Unlocking

The FCC granted a waiver that removes the requirement to automatically unlock phones 60 days after activation, a rule that applied only to Verizon and was stricter than those faced by other wireless carriers.

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Under the waiver, Verizon will now follow the voluntary phone unlocking policy set by the CTIA, a wireless industry trade group. Under this policy, prepaid phones can be unlocked after one year of activation, while phones on postpaid plans can be unlocked only after customers complete their contract, finish their device payment plan, or pay any early termination fees. Phones will now be unlocked only when customers request it, rather than automatically.

The FCC said the waiver will remain in effect until it decides on a broader, industry-wide approach to phone unlocking. The agency also rejected calls to limit the phone locking period to 180 days, stating that the CTIA policy provides sufficient consumer protection.

These changes modify earlier conditions tied to regulatory approvals. Verizon had agreed to strict unlocking requirements in 2008 when it purchased 700 MHz spectrum licenses and again in 2021 as part of the approval for its acquisition of TracFone. Those agreements had previously made Verizon subject to unlocking rules that did not apply to other major carriers.

Fraud, Crime, and Law Enforcement Concerns Drive Decision

Verizon argued that the 60-day unlocking rule made its devices more vulnerable to fraud and theft. In 2019, the company received approval to lock phones for 60 days instead of selling them fully unlocked. In March 2025, Verizon asked the FCC to remove the rule entirely, saying the two-month period was not enough to deter criminal activity.

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The FCC agreed, stating that the rule required one carrier to unlock phones much earlier than standard industry practice. According to the agency, this created incentives for bad actors to steal devices and resell them illegally.

FCC Chairman Brendan Carr said criminal networks have exploited phone unlocking policies to support illegal activities, including international handset trafficking. He noted that stolen devices are often sold in countries that do not participate in global phone-blocking systems, making recovery more difficult.

The FCC also cited support from law enforcement organizations, which said the 60-day rule contributed to higher phone theft and forced police to divert resources toward investigating stolen devices. The agency concluded that allowing longer phone locking periods could help reduce the flow of devices into black markets.

Consumer Pushback and Legal Disputes Highlight Impact

Several consumer advocacy groups, including Public Knowledge, the Benton Foundation, Consumer Reports, the Electronic Frontier Foundation, and iFixit, opposed Verizon’s request to end automatic phone unlocking. They said automatic unlocking benefits consumers by lowering switching costs, supporting competition, encouraging phone reuse, and reducing electronic waste. The groups also argued that Verizon already has systems to detect fraud within 60 days, but the FCC rejected these claims, saying the policy was no longer adequate.

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The issue also reached the courts when Kansas resident Patrick Roach sued Verizon for refusing to unlock an iPhone he had purchased. Verizon had introduced a rule in April 2025 requiring 60 days of paid service before unlocking. A small claims court ruled in Roach’s favor, finding the policy could not be applied retroactively. The FCC did not act on the complaint, but the case highlighted confusion around Verizon’s rules.

Industry groups reacted as well. The National Cable & Telecommunications Association criticized the decision, arguing that phone unlocking increases affordability and competition. The FCC clarified that the waiver applies only to phones activated after the order takes effect, so existing Verizon customers will not be affected.

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