The AGCM (Competition and Market Authority) led Sky Italia to stop Sky Wifi’s misleading advertising following the complaint from Virgin Fibra.
Previously, Sky had widely advertised that its Wifi contracts were no strings attached. In reality, the standard Sky Wifi contract imposes a deactivation cost as well as a penalty in case of failure to return the modem, when the customer abandons the service.
Following Virgin Fibra’s complaint, the Competition and Market Authority, in its meeting on 26 September 2023, found that following the invitation sent by the person in charge of the proceedings on 12 June 2023, the company Sky Italia Srl has removed the claims “without constraints”, “without contractual constraints” and “no minimum contractual duration constraints” from commercial communications relating to Sky Wifi offers which provide for a contractual duration of 24 months.
Virgin Fibra instead allows its customers to abandon the contract without costs or penalties of any kind.
Virgin Fibra chief executive Tom Mockridge said: “We recognize that the broadband telecommunications market can be complex for many consumers. This is not the case with Virgin Fibra which focuses on transparency: if a customer wants to leave, in fact, he is free to do so, completely without constraints. Sky’s new approach, however, confirms that the Sky Wifi offer is “with constraints” – just as it is true that penalties are common among historic operators in the telecommunications industry”.
Mockridge added: “It also surprised me that Sky Italia resorted to misleading and untrue advertising. In the United States the owner of Sky, Comcast Corporation is widely recognized for its professionalism and strict compliance with market rules. Virgin Fibra is grateful to the AGCM for intervening to guarantee market transparency and correct consumer information”.