Juno Online Services, New York, and Gateway Inc. have commented on separate settlements reached with the Federal Trade Commission regarding their marketing practices. The FTC had brought charges against both companies stemming from their promotion of seemingly free online access, when in fact customers were charged with a variety of long distance and other dial-in costs.
“The kind of policies and practices outlined in this agreement were in no way extraordinary,” said Gary Baker, a spokesperson for Juno.
“They were very much comparable practices that we were doing and our competitors were doing. The FTC appears to want to improve these practices. If they want to set uniform practices for us and our competitors, we welcome that.”
Baker continued, “Largely as a result of our work with the FTC, we have made dramatic changes to our practices, and all of the issues discussed in this consent agreements are no longer in question.”
Baker also said that information on discontinuing service after the end of a free trial period is now prominently placed on Juno
