AT&T plans to invest $14 billion during the next three years in Project Velocity IP, aimed at “expanding the carrier’s high-potential growth platforms, helping drive continued increases in revenues from existing and new products and services, and earnings per share.” Notes Chairman/CEO Randall Stephenson, “We have the opportunity to improve AT&T’s revenue growth and cost structure for years to come, and create substantial value for shareowners.”
Here’s part of the plan: The carrier will expand its 4G LTE network to cover 300 million people in the United States by year-end 2014, up from its current plans to deploy 4G LTE to about 250 million people by year-end 2013. In addition, AT&T may deploy small cell technology, macro cells and additional distributed antenna systems to increase the density of its wireless network. Its wireline IP network will grow to 57 million customer locations (consumer and small business) or 75 percent of all customer locations by year-end 2015 via a beefed-up U-verse and U-verse IPDSLAM plus speed upgrades.
“AT&T’s announcement of billions of dollars in new investment in wired and wireless broadband networks is proof positive that the climate for investment and innovation in the U.S. communications sector is healthy," says FCC Chairman Julius Genachowski. "Today’s announcement adds to nearly $200 billion of investment in wireless and wireline broadband networks since 2009, and powerful growth in the Internet economy. AT&T has also filed a petition with the FCC today suggesting issues to consider in our ongoing work to modernize our rules for the evolving communications market."
Comments Public Knowledge Senior Vice President Harold Feld, "AT&T is to be applauded for investing in its network and breathing new life into DSL and rural wireless. This investment will not only create new jobs and bring broadband to the heartland, it has the potential to revive competition with cable broadband at a time when many had concluded we were doomed to a cable monopoly.”
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