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Lawmakers urge FTC to probe Trump Mobile over 'deceptive' marketing

Senator Elizabeth Warren is leading calls for the Federal Trade Commission to investigate Trump Mobile for failing to ship gold phones, months after collecting deposits.

Customers were told to pay $100 deposits by August 2025, with shipping dates repeatedly pushed back from August to November, then December, and still no devices have shipped as of January.

Pre-orders for the T1 remain open, while Trump Mobile sells refurbished Apple and Samsung devices, and "The 47 Plan" – a mobile virtual network service costing $47.45 per month for a SIM-only telco product.

The proposed FTC probe would zero in on Trump Mobile's marketing practices, which lawmakers claim are "potentially deceptive."

The T1 Smartphone Mark 2

President Trump announced the Trump Mobile brand in June 2025, along with mockups of a T1 phone. The company attracted criticism for sharing inconsistent designs – earlier versions appeared similar to an iPhone 16 Pro, while subsequent designs more closely resembled a Samsung Galaxy S25 Ultra, lawmakers said.

Also under the microscope of the proposed regulatory review is the company's initial "Made in the USA" marketing phrases.

The lawmakers' letter [PDF] to the FTC states: "Trump Mobile initially advertised the T1 phone as 'made in the USA' on its website. These claims were quietly removed from the website in late June 2025, days after the phone was announced.

"To claim that a product is 'Made in USA,' marketers must meet a very specific set of FTC standards, violations of which come with civil penalties.

"Experts have pointed out the impracticality of creating smartphones in the United States given the lack of appropriate manufacturing infrastructure. Since its grandiose announcement, Trump Mobile has replaced its language with vague phrases like 'American-Proud Design,' 'Proudly American,' and 'brought to life right here in the USA.'"

The letter notes that the FTC failed to respond to a similar request made in August about how it plans to investigate the "enormous conflicts of interest" associated with Trump Mobile.

Lawmakers demanded a response to their letter by February 15, saying this proposed probe would serve as a "critical test of the FTC's independence," which has been increasingly called into question.

In February 2025, Trump signed an executive order giving the White House more control over regulatory agencies, including the independent ones like the FTC and SEC. Policy decisions are to be approved by the president, who also has control over the commissions' budgets.

The administration framed the move as making regulators answerable to the American people, though critics described it as an authoritarian power grab.

A month later, Trump removed the FTC's Democrat commissioner, Rebecca Kelly Slaughter, sparking a Supreme Court case that continues to take shape.

Per a 1935 ruling that came to be known as Humphrey's Executor, a US president does not have the right to remove executives of independent agencies like the FTC without cause.

The president removed Slaughter on grounds that she was "inconsistent" with his administration's priorities, which is not one of the reasons listed under the FTC Act.

The Supreme Court's decision on Slaughter vs USA is not expected for several months. The final ruling, and the validity of Humphrey's Executor, could have a significant impact on the independence of US regulators.

Given the fractious relationship between the president and the FTC, it is unclear whether the latter will uphold the lawmakers' request for a probe into Trump Mobile. ®

Source: The register

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