FCC implements new regulations to safeguard consumers from SIM-swapping assaults.

The Federal Communications Commission (FCC) has introduced new regulations aimed at protecting consumers from the increasing threat of SIM swapping attacks and port-out fraud. This move follows a surge in complaints about these types of cybercrimes, which involve unauthorized transfers of phone numbers to new devices or carriers.

In SIM swapping, fraudsters deceive a victim's wireless carrier into transferring their service to a device under the criminal’s control. Port-out fraud involves moving a victim's phone number to a different service provider without their consent. These tactics can lead to substantial financial losses and identity theft, as they provide unauthorized access to personal and sensitive data.

To combat this, the FCC's Privacy and Data Protection Task Force, established in July, has mandated stricter rules under the Customer Proprietary Network Information (CPNI) and Local Number Portability regulations. Wireless service providers are now required to implement robust authentication methods before porting a customer's phone number. Additionally, they must quickly notify customers of any SIM change or port-out request on their accounts and implement extra measures to safeguard against fraudulent SIM swapping and port-out attempts.

"These scams pose significant risks, not only to wireless account details but also to a wide array of personal and financial accounts, given the common use of phone numbers for two-factor authentication," stated FCC Commissioner Geoffrey Starks.

The new rules reflect the FCC's commitment to enhancing consumer protection in the telecommunications sector. Chairwoman Jessica Rosenworcel emphasized the need for wireless carriers to provide more control and immediate notifications to subscribers for any SIM transfer requests, making it harder for criminals to access sensitive subscriber information.

The FBI has also highlighted the growing concern around SIM swapping, noting a significant rise in complaints and financial losses due to these crimes. The FBI Internet Crime Complaint Center (IC3) reported over 2,000 SIM-swapping complaints with losses totaling over $72 million in the previous year, a sharp increase from the previous years.

The FCC's regulatory update is a response to this escalating threat, aiming to shield consumers from the distress and financial damage caused by SIM hijacking attacks and port-out fraud.