Background on AT&T and the Relevant Law
AT&T, a major telecommunications company in the United States, was accused by various Mexican authorities of failing to comply with its obligations under Article 190 of the Mexican Federal Telecommunications and Broadcasting Law (LFTR). This article mandates that mobile service providers share specific user data with law enforcement agencies, including names, business details, contract types, addresses, locations, and types of communications.
Moreover, Article 190 requires telecom companies to have the necessary technical and financial means to safeguard this information. Failure to comply results in penalties, making it a contentious piece of legislation within the telecommunications industry.
The Case Against AT&T
Between 2018 and 2019, nine cases were referred to the Federal Institute of Telecommunications (IFT) by different control judges, alleging that AT&T had violated Article 190 in 2017. The IFT, as a constitutionally authorized regulatory body for telecommunications in Mexico, imposed an economic sanction equivalent to 0.01% of AT&T’s annual revenue from 2017, approximately half a million pesos.
AT&T’s Challenge to the Sanction
AT&T contested the IFT’s reasoning for imposing the sanction, leading to a legal battle that lasted over five years. The First Collegiate Circuit Administrative Specialized Court in Competition Economic, Radiodiffusion and Telecommunications, based in Mexico City with jurisdiction across the nation, ultimately sided with AT&T.
The Tribunal’s Decision
The tribunal invalidated the sanction, stating that there were no objective elements proving AT&T violated the law. Furthermore, according to the Federal Administrative Procedure Law, any supposed non-compliance with Article 190 had already expired.
Contextual Information on the Case
AT&T submitted the requested information late to various justice authorities, though not with the intent to hinder their work. The company had only 24 hours to gather and send data for nine users out of its 13.82 million users in 2017.
In 2017, Mexico had approximately 115.2 million active cellular lines. By 2025, this figure is projected to reach around 155 million, providing context for the collaboration between cellular companies and justice authorities as per Article 190 of the telecommunications law.
The case reflects challenges faced by Mexico’s telecommunications industry, as operators struggle to collect precise user data within 24-48 hour deadlines. Many prepaid numbers lack detailed user information, and companies must bear the costs of such data collection.
Authorities Involved
- Fiscalía del Estado de Oaxaca
- Fiscalía General de la República
- Fiscalía del Estado de Coahuila
- Fiscalía del Estado de Veracruz (twice)
- Fiscalía del Estado de Michoacán
- Fiscalía de la Ciudad de México
These nine requests from seven government bodies represented 0.03% of the 26,082 requests for information from AT&T by justice authorities across Mexico between 2017 and 2018. The tribunal likely considered this factor when assessing AT&T’s intent to obstruct justice.
“There is no evidence that AT&T’s omission resulted in any profit or harm to a telecommunications or radiodiffusion system,” states one of the documents.
