NAD Recommends Verizon Modify or Discontinue Some Superiority Claims for Fios, Finds Qualified “Fastest Speed” Claim Substantiated; Both Parties to Appeal

For Immediate Release 

Contact: Abby Hills, Director of Communications, BBB National Programs 

703.247.9330 / press@bbbnp.org 

New York, NY – August 25, 2020 – The National Advertising Division (NAD) of BBB National Programs recommended that Verizon Communications, Inc.: 

Further, NAD determined the challenged “fastest available” claims also convey the message that Verizon delivers superior speeds (in addition to conveying a message about the top available speeds). As support for its claim that Fios is the fastest nationwide ISP, Verizon relied on PC Mag speed ratings of ISPs, which used a sample size of 256,016 tests and showed that Verizon customers had both higher average download speeds and higher average upload speeds than customers of all major national competitors. NAD concluded that the PC Mag test was reliable. However, NAD determined that Verizon’s consumer preference evidence was not a good fit for the challenged superior performance claim. Therefore, NAD recommended that Verizon discontinue express and implied claims that it has the “fastest internet” for its Fios service, or modify them, to disclose, clearly and conspicuously, the source of the substantiation and, if it bases the claims on the PC Mag testing, disclose that it is a speed comparison aggregating service tiers.  

NAD also found that the claims that Fios provides superior streaming or buffering were not substantiated and recommended those claims be discontinued.   

NAD evaluated Verizon’s claim about the reliability of its Fios service, noting that with regard to internet service, reliability has at least two meanings: One meaning is the uptime of the service (the percentage of the time that it can be used), however Verizon submitted no evidence regarding the uptime of Fios or any other internet service. Whereas, the FCC’s Measuring Broadband America (MBA) reports measure reliability by the percentage of the time that a wired broadband provider delivers the advertised speed. NAD noted that the most recent MBA report says that most ISPs provide good consistency of speed, and therefore it did not support the claim at issue. Therefore, NAD recommended that Verizon discontinue the unqualified claim that Fios provides superior reliability. 

NAD determined that Verizon’s claims that Fios supports more devices reasonably convey the message that consumers will experience a consumer relevant benefit. Because the evidence in the record did not show that Verizon’s superior upload speeds deliver a consumer meaningful benefit to the typical consumer, NAD recommended that Verizon modify those claims to explain which consumers would see a consumer relevant benefit.   

NAD determined that Verizon’s comparative claim “Fiber is better. . . .  Business fiber internet is resilient, even during bad weather. You can rely on 99.9% network reliability and fast speeds to help your business get work done quickly” conveys the message that Fios’ reliability in weather is superior to a degree that is consumer relevant. Although the advertiser submitted articles explaining that fiber is not susceptible to electromagnetic interference, NAD determined that neither discussed whether this difference translates into consumer relevant differences in weather-related disruptions. Therefore, NAD recommended that the claim be discontinued.  

With regard to overall superiority claims for fiber and for Fios, such as “What sets Fios apart? Fiber-optic technology for a better home connection” and “Fiber is better,” NAD found unsubstantiated Verizon’s unqualified speed superiority claim, and found that Verizon had not submitted information in the record sufficient to substantiate several of its other comparative performance claims. Therefore, NAD recommended that Verizon discontinue the unqualified claims that Fios and fiber technology provide superior performance.  

Finally, Verizon voluntarily discontinued the claims that “90% of Fios® Business customers surveyed say internet speeds are better compared to their prior service provider,” and that Verizon Fios “is not vulnerable to slowdowns” and streams video “without buffering.” Therefore, NAD did not review these claims on the merits.   

In its advertiser’s statement, Verizon stated that it will appeal NAD’s decision and noted its disappointment with NAD’s conclusion “that Verizon must qualify any ‘fastest’ speed claims.” Verizon’s statement noted that it was pleased that NAD accepted the results of a PC Mag test, which is the portion of NAD’s decision that Charter is cross-appealing. 

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About BBB National Programs: BBB National Programs is where businesses turn to enhance consumer trust and consumers are heard. The non-profit organization creates a fairer playing field for businesses and a better experience for consumers through the development and delivery of effective third-party accountability and dispute resolution programs. Embracing its role as an independent organization since the restructuring of the Council of Better Business Bureaus in June 2019, BBB National Programs today oversees more than a dozen leading national industry self-regulation programs, and continues to evolve its work and grow its impact by providing business guidance and fostering best practices in arenas such as advertising, child-directed marketing, and privacy. To learn more, visit bbbprograms.org. 

About the National Advertising Division: The National Advertising Division (NAD), a division of BBB National Programs, provides independent self-regulation and dispute resolution services, guiding the truthfulness of advertising across the U.S. NAD reviews national advertising in all media and its decisions set consistent standards for advertising truth and accuracy, delivering meaningful protection to consumers and leveling the playing field for business.