NEWS
The Advertising Standards Authority (ASA) has slapped down Carphone Warehouse's claims to offer 'free broadband forever'.
According to the ASA, which received complaints from rival ISPs BT and NTL, as well as 145 consumers, Carphone had been taking liberties with the definition of 'free'.
The ASA objected to the free broadband ads on the grounds that the free offer came as part of a newly created package, rather than as an adjunct to an existing product, so it could not legitimately be called free.
The ASA also decided the term 'forever' used in Carphone's advertising was not appropriate.
It said in its adjudication: "Inevitably, for those people who had signed up to the offer when it was advertised as 'free', the broadband would become 'inclusive' after a reasonable period of time because they would continue to pay £20.99 a month. The benefit of 'free' broadband would therefore stop once it became inclusive because customer's [sic] future payments would be for an 'inclusive' rather than 'free' aspect of what they were paying for."
Both Orange and Sky have launched similar broadband promotions in recent weeks but both are giving away connectivity with products that existed prior to the creation of the 'free' offer and are therefore unlikely to be affected.
Carphone has since negotiated the niceties of the ASA's adjudications and started to offer 'free' broadband with a call package that has been around since before April. It is £1 per month cheaper than the 'free' package it was originally touting.
Writing last week on his blog, Carphone Warehouse CEO Charles Dunstone said: "We are delighted and relieved to be able to report that common sense has prevailed and we will still be able to advertise the service as free."
The ASA has asked that Carphone Warehouse does not use the advertising in its current form, however, and requested the company finds better ways to explain the service before using the term free.
