* Judge suggests Verizon would likely succeed in its suit
against T-Mobile
* T-Mobile conducted apples-to-oranges comparison, judge
says
* T-Mobile countersued Verizon
NEW YORK, March 30 (Reuters) - A federal judge on Monday
granted Verizon Wireless a preliminary injunction
blocking rival T-Mobile from running ads promising
consumers more than $1,000 of annual savings if they switch
cellphone carriers.
U.S. District Judge Lewis Kaplan in Manhattan said Verizon
would likely succeed on the merits of its claim that T-Mobile's
"Save Over $1,000" campaign constituted false advertising,
resulting in irreparable harm.
He also said an injunction would serve the public interest
by promoting truthful and accurate advertising, "ensuring that
what consumers see is what they get."
Neither T-Mobile nor Verizon immediately responded to
requests for comment.
In its February 4 lawsuit, Verizon accused T-Mobile of
comparing its promotional rates with Verizon's standard rates,
and inflating the value of services that "the other guys leave
out."
T-Mobile countersued on March 2, saying Verizon's own
campaign featuring George Washington, Abraham Lincoln and
Benjamin Franklin was bogus because that carrier could not
promise a "better deal" for T-Mobile or AT&T Mobility
customers.
Kaplan said T-Mobile's promise of big savings by switching
to its Better Value Plan from Verizon's Unlimited Ultimate Plan
was "literally false" because T-Mobile conducted an
"apples-to-oranges" comparison.
He said that after accounting for differences in the plans,
the potential savings fell to just $228.84 annually.
"Competition in the cellular service market is intense and
in some ways zero-sum," Kaplan wrote. "Each provider wants for
itself as many customers as it can get. Customer attention thus
is a commodity and a fleeting one at that... But this legitimate
competition and innovation cannot come at the expense of
truthfulness and accuracy."
Verizon and T-Mobile respectively had 146.9 million and
142.4 million subscribers as of December 31, according to the
companies' financial reports. AT&T ( T ) ranked third with 120.1
million.