SCOTUS Rules Against AT&T, Verizon Over Fines For Selling Location Data

The U.S. Supreme Court ruled 8–1 that the Federal Communications Commission can continue enforcing penalties against telecom companies that improperly handle customers’ location data. The decision strengthens the agency’s authority to hold carriers accountable for privacy violations and confirms that its enforcement process can move forward without automatically requiring a jury trial.

Major phone companies argued that large financial penalties should not be imposed through the FCC’s administrative process. However, Chief Justice John Roberts rejected that position, explaining that companies always had the option to “refuse to pay, force the government into court, and then demand a jury.” The ruling leaves the FCC’s enforcement system intact and allows regulators to pursue major privacy cases.

The decision also preserves more than $104 million in fines tied to allegations that sensitive location information was mishandled. Privacy advocates welcomed the outcome, saying it reinforces protections for consumers whose movements can be tracked through their mobile devices and discourages companies from misusing such data.

Supporters of the ruling pointed to past incidents in which location information was “sold, resold, and exploited by bounty hunters and even a rogue sheriff,” highlighting the risks of weak oversight. They argued that strong enforcement remains essential as digital privacy concerns continue to grow.

By siding with the FCC, the Court signaled that telecom companies can still face significant consequences for failing to protect customer information. For privacy advocates, the ruling represents an important victory, while for the telecom industry it serves as a reminder that regulators “still have teeth—and the telecoms know it.”

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