
AT&T, Verizon: In 2006, news broke that these two massive telecommunications companies had been allegedly turning over the private calling records of millions of Americans to the National Security Agency. The companies were caught in a firestorm of bad publicity and hit by a
barrage of costly class action lawsuits. The companies faced potentially "crippling" damages in the hundreds of billions of dollars and have spent massive amounts on attorney and lobbyist fees to try to
sidestep liability.
Verizon: Verizon made a costly mistake in 2007 when it told NARAL Pro-Choice America that the nonprofit could not use the telecommunication company’s network to send text messages to people who had requested information updates. The company reversed its decision after receiving
a barrage of complaints from activists, members of the media, and legislators.
The FCC opened an investigation into the incident, causing senior executives to apologize repeatedly in both written comments and in-person testimony before the agency.