Verizon Wireless $VZ (-1.95%) on Wednesday sued T-Mobile $TMUS (-3.02%)
$DTE (-0.74%) accusing its largest competitor of false advertising and causing irreparable harm by promising consumers annual savings of more than $1,000 if they switch wireless carriers.
According to a lawsuit filed in federal court in Manhattan, T-Mobile exaggerated the alleged savings by more than 100 percent in some cases by comparing its promotional prices to Verizon's standard prices and inflating the value of streaming, satellite connectivity and other benefits that "the other providers do not offer."
Verizon also said T-Mobile doubled down on its savings promises, which were "substantially identical" to promises that the National Advertising Review Board, which oversees the U.S. advertising industry's self-regulatory system, found to be unsubstantiated and misleading in 2025 and 2026.
The alleged deception is that no direct comparisons of subscriber costs are offered by understating the savings offered by New York-based Verizon when bundling various services such as Netflix with HBO Max or Hulu with Disney+ and ESPN+.
