Since 2017, I’ve reviewed hundreds of online programs — affiliate platforms, MLM companies, lead-gen systems, and direct sales opportunities. Over the years I’ve earned over $100,000 online, mostly through digital marketing and affiliate education.
One company that people keep asking me about is ACN (American Communications Network).
It’s been around for decades, but the question never dies:
👉 “Is ACN a pyramid scheme?”
👉 “Can I actually make money selling phone plans?”
👉 “Is ACN legit or a scam?”
I went deep into the company’s structure, compensation plan, complaints, real distributor experiences, lawsuits, and income disclosures.
Here’s my neutral, data-driven, first-hand review.
What Is ACN?
ACN (American Communications Network) is a multi-level marketing (MLM) company founded in 1993.
They sell “essential services,” including:
- Phone plans
- Internet & broadband
- TV packages
- Home security
- Energy
- Utility switching
Instead of paying for advertising, ACN uses Independent Business Owners (IBOs) to recruit customers and other reps.
That’s the first sign we need to look at carefully.
Is ACN a Pyramid Scheme?
NO — ACN is not an illegal pyramid scheme.
It sells real services, and customers can sign up without joining the business.
BUT…
ACN does operate with many pyramid-like characteristics.
The business opportunity heavily rewards recruiting, not selling.
Most people at the bottom earn little to nothing.
So:
✔️ Legally: NOT a pyramid scheme
❗ Practically: Behaves a lot like one
How ACN Works (Explained Simply)
1. You join as an IBO
Cost: $249 sign-up + yearly renewal (One of the most expensive MLM entry fees)
2. You sell services to customers
You earn small commissions from:
- Phone plans
- Internet
- Energy bills
- Security services
Problem: margins are tiny. You might earn $1–3 per month from a customer.
3. You recruit others
This is where real money is “supposed” to come from.
You get paid when:
- You recruit new reps
- They recruit more reps
- Your downline hits targets
The structure is classic MLM: your income depends more on building a team than selling products.
ACN Compensation Plan (My Honest Take)
The ACN comp plan is confusing by design.
Here’s the simplified truth:
Earning Money Through Sales
You get very small residual commissions.
Like I said: $1–3 per month PER customer.
You’d need hundreds of customers just to replace a part-time job.
Earning Money Through Recruitment
You earn “Customer Points” based on how many customers your downline brings in.
This determines your rank, bonuses, and overrides.
The higher you climb, the more your earnings depend on other people doing the work.
That’s why ACN looks pyramid-ish: recruitment is the engine, not sales.
ACN Income Disclosure (The Brutal Reality)
ACN’s historical income disclosures show:
❗ 82–90% of distributors earn $0
❗ Most people never recover their sign-up fee
❗ Only the top 1% earn significant income
❗ Majority quit within 12 months
These numbers are consistent across MLMs — ACN is not an exception.
Add to that:
- complaints to the FTC
- multiple lawsuits
- accusations from former reps
- celebrity endorsements used to legitimize the company
…and the picture becomes clear: It works for a tiny elite, not the average person.
Is ACN a Scam?
Not legally.
They provide legitimate services.
But the business model is extremely misleading.
Most reps are told:
“Just get your friends and family to switch their phone plans — easy!”
In reality:
🔻 Everyone already has a provider
🔻 ACN services are often more expensive
🔻 Selling utilities is not simple
🔻 Recruiting is the only scalable income source
So while it’s not a scam, it is a high-risk, low-reward opportunity.
What I Liked About ACN
✔️ The services are real
Unlike many MLMs selling overpriced vitamins, ACN sells essential services.
✔️ Potential residual commissions
If you actually build a customer base, you get recurring commissions (even if small).
✔️ Long lifespan (since 1993)
A company lasting 30+ years isn’t a random scam.
✔️ Some training is decent
Their marketing material is professional and well-produced.
What I Didn’t Like (A LOT)
❌ High start-up cost ($249)
Way higher than most online business models today.
❌ Recruiting > selling
The comp plan pushes reps to build teams instead of selling services.
❌ Tiny commissions
$1–3 per month per customer is not sustainable income.
❌ Pressure on friends and family
Almost every ACN rep ends up burning relationships.
❌ Low success rate
Most reps make nothing.
❌ The “If you work hard you’ll make it” myth
Hard work isn’t the issue. The model itself isn’t designed for the average person to win.
My Personal Verdict After 8+ Years Online
As someone who has built several income streams online — without recruiting, without cold calling, without selling to family — ACN simply doesn’t make sense.
In 2025, with all available online business models, spending $249+ to:
❌ sell boring services
❌ get tiny commissions
❌ pressure others to join an MLM
❌ climb a confusing compensation plan
…is just not worth it.
There are far better ways to earn online, especially if you’re interested in promoting services or tools.
So, Should You Join ACN? My Final Answer
No — not unless you love MLM culture, recruiting, and constant sales pressure.
ACN is a real company, but the business model is stacked against newcomers.
If you want real, sustainable online income, look for a model where:
✔️ You own the traffic
✔️ You choose the products
✔️ You earn high commissions
✔️ You don’t depend on a downline
This is exactly why I switched to affiliate marketing back in 2017 — and never looked back.
A Safer, Beginner-Friendly Alternative (Wealthy Affiliate)
If your real goal is:
- building online income
- learning marketing skills
- promoting products
- NOT recruiting people
…then affiliate marketing is a MUCH better path than MLM.
The platform that has helped me most over the years is:
👉 Wealthy Affiliate (my personal review)
WA teaches you:
- SEO
- Content writing
- Affiliate marketing
- Website building
- Paid ads
- Lead generation
And unlike ACN:
- No recruiting
- No overpriced “starter kits”
- No sales pressure
- Earn REAL commissions
- Transparent business model
FAQa about ACN
Is ACN a pyramid scheme?
No, ACN sells real products. But the income structure depends heavily on recruitment.
Can you make money with ACN?
Yes — but only a small percentage of reps do.
Is ACN worth joining in 2025?
For most people, no. There are far better business models today.
Is ACN legal?
Yes, ACN operates legally and has been around for decades.
Is ACN good for beginners?
Most beginners struggle because selling services + recruiting is extremely difficult.
Conclusion
ACN isn’t an outright scam — but it’s also not the easy, passive income opportunity reps make it sound like.
If you’re serious about earning online, building digital skills, and creating long-term income streams without MLM nonsense, affiliate marketing is a far better path — and platforms like Wealthy Affiliate give you everything you need to start.