Comcast sued for creating public hotspots using private wireless routers

Comcast customers filed a class-action lawsuit against the company in federal court, claiming that its business practices result in higher electricity costs, slower internet connections and increased security vulnerabilities for customers.

Through its subsidiary Xfinity Internet Service, Comcast began building a nationwide system of wireless hotspots in June 2013, using the wireless routers the company leases to its customers to create their home Wi-Fi networks. The company’s goal is to compete with wireless providers like Verizon and AT&T without building infrastructure nationwide, according to McAfee, a computer security company. On top of that, Comcast nets $300 million in additional revenue per quarter from monthly hardware rental fees, DSLReports editor Karl Bode notes.