Report: Justice Dept. to review telecom firms exclusivity deals

NEW YORK -- The Justice Department is starting a review of whether the largest U.S. telecommunications carriers engage in anticompetitive behavior, The Wall Street Journal reported Monday.

The inquiry, as yet informal, may look at whether consumers are hurt by the long-term exclusivity agreements carriers like AT&T and Verizon Wireless sign with cellphone makers, according a report on the newspaper's website Monday.

The Federal Communications Commission has already said it will look into exclusive handset deals.

Most exclusivity agreements last for six months or less, but AT&T is still the only U.S. carrier to sell Apple's iPhone two years after the first model's launch, which has drawn attention.

The Justice Department could also look into whether carriers are unduly limiting the applications that they allow to run on their wireless networks, according to the Journal. The carriers generally don't allow applications like TV streaming, saying they would take up too much air time and slow down access for other users.

Gina Talamona, spokeswoman for the Justice Department's antitrust division, declined to comment on the Journal's report. Verizon spokesman David Fish said the company had no indication that a review had started. A call to AT&T was not immediately returned.

Verizon Wireless, the country's largest wireless carrier, is a joint venture of Verizon Communications of New York and Vodafone Group of Britain. Verizon Communications shares rose 18 cents to close at $30.36.

AT&T shares gained 21 cents to $24.80.