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VoIP-Pal Files a Motion to Extend the Time for Service of Process in Their Antitrust Case against AT&T, Verizon, and T-Mobile


Case 1:24-cv-03051-RDM Document 8 Filed 01/16/25


Case 1:24-cv-03054-RDM Document 6 Filed 01/16/25


https://www.ceocfointerviews.com/voippalantitrust110224.html


https://www.ceocfointerviews.com/voippalantitrust121824.html


The antitrust lawsuit filed by VoIP-Pal against AT&T, Verizon, and T-Mobile, Civil Action No. 24-cv-03051(RDM), has entered a critical phase with the filing of the Plaintiff's First Motion to Extend the Time for Service of Process. These complaints allege antitrust violations, RICO breaches, fraudulent misrepresentation, and violations of the 1999 Telecommunications Act. They accuse the defendants of forcing the bundling of Wi-Fi calling with cellular services, affecting 373 million U.S. smartphone subscribers.


Is a Combined $350 Billion Resolution for VoIP-Pal Antitrust and Class Action Complaints Getting Closer?


My editorial analyzes the two significant complaints filed by VoIP-Pal, and I caution readers to form their own conclusions. My perspective could be wrong, half-right, or entirely correct—only time will tell. But one thing is certain: the stakes are astronomical, and the legal and financial implications for AT&T, Verizon, and T-Mobile are unprecedented.


The RICO Wake-Up Call


The antitrust complaints filed by VoIP-Pal in the District of Columbia are not ordinary legal battles. They introduce a game-changing element: the Racketeer Influenced and Corrupt Organizations Act (RICO). The inclusion of RICO dramatically escalates the severity of the allegations, transforming the defendants' narrative and exposing them to unparalleled legal and financial risks.


A Unified Enterprise with Unprecedented Profits


VoIP-Pal alleges that AT&T, Verizon, and T-Mobile collectively operate as a single enterprise under RICO, generating an estimated $200 billion annually in gross profits—making them the most profitable enterprise globally. This unified operation dismantles any claims of independence among the carriers and subjects them to collective liability.


Directors and General Counsels on the Hook


RICO pierces the corporate veil, targeting directors and general counsels as personally liable for the alleged violations. This unprecedented legal strategy directly pressures the decision-makers, raising stakes and increasing their vulnerability to reputational and financial consequences.


Fraudulent Misrepresentation and Telecommunications Act Violations


The complaints accuse the carriers of fraudulent misrepresentation by marketing Wi-Fi Calling as a "no-charge" feature while embedding its costs into bundled cellular plans. Additionally, the allegations cite breaches of the 1999 Telecommunications Act, which prohibits forced bundling practices that stifle competition and innovation.


Jury Psychology: The Human Element


The potential jury pool consists of the very consumers impacted by these allegations—373 million American smartphone subscribers. Forcing consumers to hand over their initiated Wi-Fi calls to carriers, only to have the carriers exploit this feature for profit while suppressing a standalone service priced as low as $6.50 per month, could evoke strong emotional reactions. Vulnerable populations, including low-income families and rural Americans, are particularly affected. Jurors are unlikely to overlook the implications of systemic consumer harm, creating a challenging environment for the defendants.


The Defendants' Business Model Is at Risk


The defendants' forced bundling practices are central to their collective $200 billion annual gross profit. However, this business model is on the verge of collapse if the lawsuits proceed. Each defendant faces unique risks:


 AT&T: Its reputation as an industry leader could be permanently tarnished by prolonged litigation.

 Verizon: Its reliance on premium consumer services makes it particularly vulnerable to consumer backlash.

 T-Mobile: Majority-owned by Deutsche Telekom, T-Mobile's exposure extends beyond U.S. borders, potentially triggering scrutiny of similar business models across Europe, where regulatory frameworks are stringent and tying practices are heavily scrutinized.


Is a Resolution Possible?


VoIP-Pal's First Motion to Extend the Time for Service of Process signals a measured approach. The motion highlights ongoing discussions with AT&T and Verizon, particularly their requests to exclude directors and general counsels from the complaints.

Exclusive Interview with VoIP-Pal CEO Emil Malak


Q&A: A Visionary Perspective on the Case


Q. The three carriers you collectively sued must by now have a war room with dozens of legal experts, and dozens of motions will likely be filed to exhaust you financially. How do you intend to stay alive?
A. We've been in litigation for nearly ten years, and we're still here. The shift to antitrust and RICO claims has made the litigation narrower and more confined. To expedite the process and focus the court's attention, we plan to file a motion for bifurcation, which will streamline the case by addressing the key illegal actions first.

Q. What is "Bifurcation"?
A. Bifurcation is a legal strategy where we request the court to divide the trial into two phases. The first phase focuses on litigating the most significant illegal conduct that forms the backbone of the complaints. This allows the court to address liability issues upfront and potentially resolve the case faster.

Q. Can you list the specific illegal actions you want to prioritize?
A. Our complaints detail these actions clearly. The most critical issues are the tying of cellular calling to Wi-Fi calling and marketing it as "no charge." These practices, shared and coordinated by the three carriers, violate antitrust laws, the 1999 Telecommunications Act, and RICO statutes. They are the core of our case and must be addressed first.

Q. Do you expect the new DOJ, the FTC, consumer protection organizations, and the State Attorneys General to join in and support your complaint?
A. Whether they join or not has nothing to do with VoIP-Pal's struggle. This is about the impact on 373 million American smartphone subscribers who have been subjected to coordinated practices that suppress competition and stifle consumer choice. These organizations are tasked with protecting the public interest, and the scale of this case—affecting nearly every smartphone user in the country—makes it hard to ignore.


Q: In the complaint you label AT&T, Verizon, and T-Mobile a cartel; why?

A: A combined $200 billion gross profit doesn't place them above antitrust laws, RICO, or the 1999 Telecommunications Act. Their coordinated practices, including forced bundling, harm consumers and suppress competition.


Q: How much would you settle for?
A: VoIP-Pal is willing to help carriers transition to a more sustainable business model. The ask is modest—a fraction of the $200 billion gross profit they currently enjoy.


Q: What is your vision for the telecommunications industry?
A: A world where consumers pay just $10 per month for home internet and unlimited local and international calls. U.S. carriers can lead this revolution and increase their subscriber base to billions, competing globally with innovations like Starlink.


Q: Years ago, you predicted Artificial Intelligence (AI) would shape the future. Did you mean telecommunications?
A: Absolutely. Telecommunications and Silicon Valley have a golden opportunity to integrate AI into communication procedures and lead the world. Quantum "AI" will be the next frontier, and companies like IBM are already pioneering this shift.


Q: Your vision for Quantum "AI" sounds inhuman.
A: It's both a promise and a warning. In 10 years, humanity could either harness Quantum "AI" for extraordinary advancements or face existential challenges. The key is responsible innovation.


Q: You have been in litigation with nearly all the major Silicon Valley entities. Why?
A: I had no choice but to litigate—it was either allow them to exploit our technology for free or stand up and fight for what's right. Silicon Valley billionaires have grown so powerful that they've shifted their focus from innovation to consolidating control, acting as a de facto global government. Worse, they are using their platforms to spread misinformation, even influencing voting outcomes in many countries. This manipulation of information is a dangerous path that risks their own downfall. They need to refocus on what made them successful—driving technological innovation, particularly in transformative fields like artificial intelligence ("AI"). Their mission should be fostering creativity and progress, not undermining democracy or controlling narrative.


Risk Assessment for Not Settling Sooner

The defendants face an unparalleled legal and financial threat. Prolonging litigation only benefits outside counsel, who stand to make over $100 million in fees. VoIP-Pal, however, has demonstrated persistence and adaptability in its decade-long pursuit of justice.


NOTE: This content is not the view of nor endorsed by CEOCFO Magazine or its advertisers.

VoIP-Pal is actively developing the next phase of Wi-Fi calling technology, which we believe will be transformative for the industry. Our technology could become the carriers' best ally in adapting to the evolving telecommunications landscape.

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