In the first move of its kind, the Federal Communications Commission on Tuesday said it's accepting a $1.25 million settlement from Verizon Wireless to end an investigation into whether the company asked Google Inc. to withhold so-called "tethering" software for Internet sharing.
Until recently, phone companies charged extra fees to allow tethering, or sharing of Internet access between devices.
The FCC remarked that Verizon justified its tethering fees by saying that tetherers used more data on the network. But the company demanded the fees even from customers who paid for data based on how much they used, so those users were charged again for the same service.
Verizon eliminated its tethering fees for limited-data plans last month, with the introduction of a new suite of "Share Everything" plans. It hasn't charged extra for tethering on the latest iPad, which is the first Apple Inc. device with LTE access.