Aussie Firms Face Heavy Fines On ‘Misleading’ Mobile Info

In a move that could prevent the whole ‘mobile dumping’ phenomonon that has swept the US and UK recently (where mobile companies offer a ‘free’ or ‘cheap’ ringtone and then sign buyers up to a subscription) the Australian Communications Authority has brokered a code of conduct that allows for fines of up to AU$250,000. The code drafters, who represented consumers, carriers and regulators, were particularly concerned over the use of the term “free”. You expect some shonky business dealing with any new technology or distribution channel, but when Jamster, one of the largest mobile content companies, gets sued for this sort of behaviour it casts a pall over the whole industry.

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