Verizon will no longer be required to automatically unlock phones 60 days after activation, following a decision by the Federal Communications Commission (FCC). The FCC granted Verizon's petition for a waiver of the 60-day unlocking requirement, a move that could make it more difficult for customers to switch to other carriers.

The waiver means Verizon will now adhere to the CTIA, a trade group, voluntary unlocking policy. This policy stipulates that prepaid mobile devices be unlocked one year after activation, while postpaid devices can be unlocked after a contract, device financing plan, or early termination fee is paid. Previously, Verizon was obligated to automatically unlock phones after 60 days; now, under the CTIA code, the company only has to unlock phones upon request from consumers.

Unlocking a phone allows it to be used on another carrier's network. The FCC stated that the waiver for Verizon will remain in effect until the agency decides on an appropriate industry-wide approach for unlocking.

The implications of this change extend to consumer choice and market competition. By making it potentially more cumbersome for customers to switch carriers, the decision could reduce competitive pressure on Verizon and other major telecommunications companies. This could affect pricing and service quality, as consumers may have fewer options to easily move to a different provider if they are dissatisfied.

The FCC's decision reflects ongoing debates about the balance between consumer rights and the operational needs of telecommunications companies. While some argue that stricter unlocking requirements promote consumer freedom and competition, others contend that flexible policies allow companies to manage their device inventories and customer relationships more effectively. The FCC's eventual industry-wide approach will likely attempt to strike a balance between these competing interests.