The FCC voted this week to close a loophole that allows criminals to more easily profit from stolen smartphones — fueling retail theft and strengthening organized crime networks involved in trafficking devices.

“Today, the FCC closed a loophole in our rules that sophisticated criminal networks and everyday lawbreakers alike exploited to steal smartphones,” wrote FCC Chairman Brendan Carr on X. “This not only contributed to retail theft but enabled handset trafficking that provided a key revenue stream for organized criminal syndicates.”

Carr’s statement points to long-running concerns about phone unlocking rules that can inadvertently make…

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