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AT&T'S Quinn: We May Renege on 80%, 95% LTE Buildout
Is This AT&T's Attempt at Satire?
by daveburstein Tuesday 26-Apr-2011 tags: coverage · business · wireless · wireless · cellular
AT&T Senior Vice President Bob Quinn believes the recent FCC decision on mobile data roaming will "discourage investment and build out of broadband facilities." With U-Verse construction winding down, the only AT&T investment in broadband left to cut is the LTE network. CEO Randall Stephenson has promised 80% LTE coverage in 2013 and 95% afterwards as encouragement for the T-Mobile deal. Even indirectly suggesting they might pull back on the buildout is risky given the likely struggle to get the T-Mobile approved.

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Stephenson's approach to their remaining broadband buildout is "about as fast as we can go." 80% coverage will require upgrading 10,000 or more cell sites, a big job even for a company the size of AT&T. It's easy to understand why he's pushing hard. AT&T is bleeding customers to Verizon since they lost iPhone exclusivity.

They are a year behind on the LTE build. When the LTE iPhone comes out later this year, Verizon will have LTE in more than half the country and AT&T will be barely beginning. Verizon is going to 92% in 2013 and "all our territory" (95-99% of the U.S.) by a few years later. AT&T says they will push that goal to 95% in 2016 or so.

AT&T has already cut nearly all other "elective" capital spending on broadband. President John Stankey has said the landline broadband investment, U-Verse, is essentially over. Most of the rest of their spending now is maintenance, as Columbia's Bob Atkinson reported at a recent Broadband Plan workshop. AT&T is already cutting capex pretty heavily, with the UBS estimate that 2011 capex will be $B less than they spent in 2008. AT&T spends billions on capex but the total is actually below depreciation some years.

The dozen or so regional wireless carriers believed they were doomed without roaming agreements at a decent price. As Commissioner Copps notes, "what good is that smartphone if it can’t be used when a subscriber is roaming across the county or across the country?" They still will have a tough time competing with the scale of AT&T and Verizon, but with roaming have a better chance. So they'll be encouraged by this and almost certainly be investing more than they would have if they remained in desperate shape.

When Bob clarifies how much they will cut the LTE buildout, everyone will have to reduce their estimates of AT&T sales appropriately. Coverage is an important factor in wireless customer choice. The more they cut buildout, the heavier the impact on their sales. It sure seems stupid to me to fall further behind Verizon's network.

Or maybe Quinn, based in D.C., sees truth the same way a politician does.

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rob316

join:2005-10-17
Carteret, NJ

Idiots

Idiots!

JasonOD

@comcast.net

Re: Idiots

Really?!? Why would AT&T be motivated one inch to build out a service that every wireless carrier would get discounted access to and build their own business off of?

It sucks yes, but blame the FCC for it, not AT&T.
ISurfTooMuch

join:2007-04-23
Tuscaloosa, AL

Re: Idiots

said by JasonOD :

Really?!? Why would AT&T be motivated one inch to build out a service that every wireless carrier would get discounted access to and build their own business off of?

Maybe because AT&T's subs would get to use it. Maybe because, if they don't, other carriers will.

AT&T has a long record of doing things half-assed. They've never done a complete job of rolling out DSL, and they've had over a decade to do it. No, they stopped DSL so they could start building U-verse. Well, guess what? Their U-verse deployments look like Swiss cheese. This neighborhood can get it, but this one can't. On the wireless side, they've dragged their feet on 3G. They don't even have I-20 from Birmingham to Atlanta covered outside of either city, and that corridor gets lots of traffic.

Did anyone actually expect them to do a complete LTE buildout? Oh, but they need T-Mobile to ease their spectrum crunch. Maybe, just MAYBE, if they built out the licenses they already have, there wouldn't be so much congestion on their network.

It's all just a load of BS.

MovieLover76

join:2009-09-11
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Lame arguement, I don't see verizon slowing their LTE deployment because of this ruling, in fact they just announced they plan to over deliver on their estimated LTE markets by the end of 2011

This is just standard AT&T, catering to their investors and making excuses to not invest in infrastructure

Romney2012
Defeat Obama 2012-Chg we can believe in
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join:2002-03-03
USA
kudos:4

Re: Idiots

said by MovieLover76:

Lame arguement, I don't see verizon slowing their LTE deployment because of this ruling, in fact they just announced they plan to over deliver on their estimated LTE markets by the end of 2011

This is just standard AT&T, catering to their investors and making excuses to not invest in infrastructure

And nowhere did AT&T say they were slowing down their LTE rollout. That was mere speculation on the bloggers part because AT&T said that FCC data roaming rule could be bad for investment.
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book119

@myvzw.com
BULL! AT&T charges PREMIUM rates for inferior products. At&t LOVES to blame deregulation, over regulation, or someone taking a leak on one of their lines for their obsolete technology. 12 YEARS I waited for DSL service that was coming ANY day. In the mean time my 56k dial up line degraded to under 28.8k, when I complained they said they only guaranteed 14.4k! 14.4???!!!!! it is 2011. I cant even pay my AT&T bill online @ 14.4K.

AT&T Hasn't even gotten their 3g network coverage up to date. I am using Verizon 3g/4g because AT&T cant get over 14.4K in my area!
sonicmerlin

join:2009-05-24
Cleveland, OH
kudos:1

Re: Idiots

said by book119 :

BULL! AT&T charges PREMIUM rates for inferior products. At&t LOVES to blame deregulation, over regulation, or someone taking a leak on one of their lines for their obsolete technology. 12 YEARS I waited for DSL service that was coming ANY day. In the mean time my 56k dial up line degraded to under 28.8k, when I complained they said they only guaranteed 14.4k! 14.4???!!!!! it is 2011. I cant even pay my AT&T bill online @ 14.4K.

AT&T Hasn't even gotten their 3g network coverage up to date. I am using Verizon 3g/4g because AT&T cant get over 14.4K in my area!

Verizon 4G must've been like stepping 20 years into the future for you eh?

I always recommend people just get a phone with an unlimited data plan (and then root and tether) rather than waste $10/month more on a 10 gig data stick.

Book119

@jbsswift.com

Re: Idiots

said by sonicmerlin:

said by book119 :

AT&T Hasn't even gotten their 3g network coverage up to date. I am using Verizon 3g/4g because AT&T cant get over 14.4K in my area!

Verizon 4G must've been like stepping 20 years into the future for you eh?

20 years in the future definitely. we are still 3g out home but it is NIGHT & DAY difference (avg 1.4mb vs 14.4K). 4G in town (Louisville KY has SOME limited 4G) is a little slower than I expected but I can live with 5Mb avg). AT&T can stick it, I even ported my old Land line over to Home phone connect. I am TOTALLY wireless now (& AT&T FREE)

TwighlightLA
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The best predictor of the future is the past. AT&T is not an exception to that.

del ftl

@comcast.net

Another magical refrence

Again, the iphone is almost certainly NOT going to be LTE this year! Apple would never deal with the size and battery requirements for one us carrier in a global market.

anon12345

@sbcglobal.net

AT&T is bleeding customers

Please link me to some numbers that show AT&T is bleeding iPhone customers. Real none arbitrary numbers.

Matt
All noise, no signal.
Premium
join:2003-07-20
Jamestown, NC
kudos:12

Re: AT&T is bleeding customers

said by anon12345 :

Please link me to some numbers that show AT&T is bleeding iPhone customers. Real none arbitrary numbers.

They're not, they just had their best quarter ever actually: »www.engadget.com/2011/04/20/atan···-with-5/
etaadmin

join:2002-01-17
Dallas, TX
kudos:1

Re: AT&T is bleeding customers

said by Matt:

said by anon12345 :

Please link me to some numbers that show AT&T is bleeding iPhone customers. Real none arbitrary numbers.

They're not, they just had their best quarter ever actually: »www.engadget.com/2011/04/20/atan···-with-5/

Any Verizon iPhone activated is an AT&T loss. Verizon activated 2.2 iPhones in the first half quarter.

»arstechnica.com/apple/news/2011/···2011.ars

AT&T's iPhone bleeding is slowly eroding into their bottom line the conclusion is that the bleeding will turn into a hemorrhage in the next quarters as ETFs expire and the LTE enabled iPhone5 comes out later this year.
openbox9

join:2004-01-26
Alexandria, VA
kudos:2

Re: AT&T is bleeding customers

said by etaadmin:

Any Verizon iPhone activated is an AT&T loss.

Huh? How so?
etaadmin

join:2002-01-17
Dallas, TX
kudos:1

Re: AT&T is bleeding customers

said by openbox9:

said by etaadmin:

Any Verizon iPhone activated is an AT&T loss.

Huh? How so?

It doesn't take a rocket scientist to figure this out.
openbox9

join:2004-01-26
Alexandria, VA
kudos:2

Re: AT&T is bleeding customers

You're right, that's why I'm scratching my head wondering why you believe that every VZW iPhone is a loss to AT&T. It's not BTW
etaadmin

join:2002-01-17
Dallas, TX
kudos:1

Re: AT&T is bleeding customers

said by openbox9:

You're right, that's why I'm scratching my head wondering why you believe that every VZW iPhone is a loss to AT&T. It's not BTW

Very simple, when somebody else sells something that you can sell that is considered a loss.

If I was AT&T I would want that customer right?

2.2 Verizon iPhones... 2.2 AT&T customers lost.

But don't worry it will get worse...

swintec
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Re: AT&T is bleeding customers

said by etaadmin:

2.2 Verizon iPhones... 2.2 AT&T customers lost.

You are ASSuming that those 2.2 customers would have bought an iPhone from AT&T if they couldnt get it from Verizon which just isnt true..unless of course you asked every customer? How many of those 2.2 customers already had Verizon, and simply got the iphone because they saw it available in store / online when they were looking for a new phone? How many of those customers would have stayed with Verizon regardless if they had it or not? No doubt the Verizon sales reps were pushing the iphone hard in stores getting it into peoples hands who never even considered it in the first place.
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etaadmin

join:2002-01-17
Dallas, TX
kudos:1

Re: AT&T is bleeding customers

Since we don't have access to detailed demographics then yes, I am assuming the worst case scenario.

Unfortunately Verizon's iPhone is only a few months old and it is too early to say what long term impact will have on AT&T but Verizon has managed to capture around 12% of the iPhone market in just 2 months... not bad.

»labs.chitika.com/iZone/

Matt
All noise, no signal.
Premium
join:2003-07-20
Jamestown, NC
kudos:12

Re: AT&T is bleeding customers

said by etaadmin:

Since we don't have access to detailed demographics then yes, I am assuming the worst case scenario.

Unfortunately Verizon's iPhone is only a few months old and it is too early to say what long term impact will have on AT&T but Verizon has managed to capture around 12% of the iPhone market in just 2 months... not bad.

»labs.chitika.com/iZone/

How many of those were existing Verizon customers and how many of those were AT&T customers that switched to Verizon?
etaadmin

join:2002-01-17
Dallas, TX
kudos:1

Re: AT&T is bleeding customers

Keep wondering the day is not over.
rradina

join:2000-08-08
Chesterfield, MO
As the original poster said, they are all AT&T losses because until there was a Verizon iPhone, anyone purchasing an iPhone would have had to become or remain an AT&T customer.

The only relevant question to ask is how many of these customers would not have purchased an iPhone if it wasn't available on Verizon's network. Whatever the balance is AT&T's loss because until recently, Apple's ship could only be boarded at AT&T docks.
BiggA

join:2005-11-23
EARTH
Reviews:
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Re: AT&T is bleeding customers

Virtually none of them would have purchased an iPhone if it wasn't on Verizon, because they COULDN'T. They are on family plans that have been with Verizon forever, and they can't leave. So iPhone comes along, and they jump at the opportunity to upgrade.

I'd like to meet any delusional crazies who switch to a network with slower data and no simultaneous voice and data that costs more and doesn't have rollover.

swintec
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Re: AT&T is bleeding customers

said by BiggA:

I'd like to meet any delusional crazies who switch to a network with slower data and no simultaneous voice and data that costs more and doesn't have rollover.

You pimp the whole "simultaneous calling and data" out in what seems like every post you make, as though you think it is a huge deal. It isnt. Not to mention, look at a coverage map of AT&Ts really small 3G area. Without the 3G you are up the creek.

Switching to a more reliable network with a far greater 3G reach does not make someone delusional, it makes them smart. Well actually, going to any network FROM AT&T, short of a tin can and string is smart.
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BiggA

join:2005-11-23
EARTH
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Re: AT&T is bleeding customers

It's not that big of a deal 98% of the time, and it's not worth paying more for, but it's a great feature when you can pay LESS, AND have FASTER data speeds along with it. It's a real big convenience once in a while to not have to hang up on a call while you look something up online.

AT&T's 3G network, with the latest round of upgrades goes literally anywhere there is any noticeable population density, with rock-solid EDGE if you are way out in the boonies.

Check that

@bellsouth.com
Wait... Didn't AT&T sell 3.6 million iPhone in the first quarter?

Does that mean that Verizon lost more than AT&T?

By your logic, and I use that loosly, over 5 million iPhones were sold, and both carriers lost big!
etaadmin

join:2002-01-17
Dallas, TX
kudos:1

Re: AT&T is bleeding customers

Nice try, but AT&T was first in selling the iPhone. You have to compare it to something.

For a moment I though I was talking to my 3 year old kid LOL. Daddy if there was no God and nothing where would we be? LOL.

Urdumb

@rcn.com
I activated a vz iphone in addition to my AT&T iPhone so no loss there..doh
gia

join:2008-01-30
Mcallen, TX

Re: AT&T is bleeding customers

said by Urdumb :

I activated a vz iphone in addition to my AT&T iPhone so no loss there..doh

Very smart, two iPhones do you call yourself from one and answer on the other?

batterup
I Can Not Tell A Lie.
Premium
join:2003-02-06
Netcong, NJ
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Re: AT&T is bleeding customers

said by gia:

Very smart, two iPhones do you call yourself from one and answer on the other?

I have several cell phones all Tracfones. All men should have a second "girl friend" phone; preferably a throw away.

Matt
All noise, no signal.
Premium
join:2003-07-20
Jamestown, NC
kudos:12
said by openbox9:

said by etaadmin:

Any Verizon iPhone activated is an AT&T loss.

Huh? How so?

That's what I'm wondering too.
etaadmin

join:2002-01-17
Dallas, TX
kudos:1

Re: AT&T is bleeding customers

said by Matt:

said by openbox9:

said by etaadmin:

Any Verizon iPhone activated is an AT&T loss.

Huh? How so?

That's what I'm wondering too.

Keep wondering for the rest of the day and at the end give a call I'll explain it to you.
mdrejhon

join:2004-02-02
Toronto, ON
Reviews:
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Re: AT&T is bleeding customers

It's more like approximately a X to 1 ratio, or some other ratio in an ongoing manner. Meaning, for every AT&T iPhone cancellation, X Verizon iPhones getting activated. X may be a value of 1.5, or 2, or 3 -- someone will need to calculate.

Thus, it's NOT exactly a 1:1 ratio, and therefore "every Verizon iPhone activation is an AT&T cancellation" is a false statement, although indirectly accurate with a few minor semantic tweaks.

This is due to the fact that there ARE people who refused to go AT&T, and therefore held off on the iPhone because it just wasn't important enough for them to get away from Verizon in the first place. Some Droid friend I know hopped to iPhone, having initially refused to jump to AT&T for this reason. Also, many businesses have refused iPhones for their employees until it finally became available on Verizon. Anybody with enough brain cells, can figure this out.

del ftl

@comcast.net

Re: AT&T is bleeding customers

You're right, but when you calculate and analyze it helps to stick with what you do know. And the main one I think he's pointing out is that 100% of the iphones sold on vzw were not sold by AT&T.
100% of those customers are not giving ATT money for that iphone.
Maybe they never would have, but that's practically incalculable, only a "guesstimate" would work.

So in essence we know that 2.2 million iphones were not sold by ATT.
gia

join:2008-01-30
Mcallen, TX
Reviews:
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said by mdrejhon:

This is due to the fact that there ARE people who refused to go AT&T, and therefore held off on the iPhone because it just wasn't important enough for them to get away from Verizon in the first place. Some Droid friend I know hopped to iPhone, having initially refused to jump to AT&T for this reason. Also, many businesses have refused iPhones for their employees until it finally became available on Verizon. Anybody with enough brain cells, can figure this out.

Would you call people that refused to go AT&T a customer lost?

Like the guy said it is too early to tell.
BiggA

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BiggA

join:2005-11-23
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@Matt (even though the forum software isn't showing it): THANK YOU!!!!!!

Oh, and AT&T shouldn't have to give access to other companies to their network. They built it, they own it. If you want the coverage, sign up with AT&T or build your own network.

AT&T is not behind in LTE, because HSPA+ can hold it's own against LTE, while EVDO is in comparatively bad shape.

Where AT&T is really screwing up is the wireline side. They have no plan as of right now. U-Verse is a joke, they need to realize that FTTH is the only good option, and roll out FTTH across their service area, and they need to start SOON. Otherwise, their wireline business is going to become irrelevant, and Comcast and the other cable cos will take over.

A Verizon iPhone is not an AT&T iPhone lost, it's a Verizon customer on a family plan who can't switch who just wanted an iPhone. Doesn't take rocket science to figure that one out.

See 13 replies to this post

Pirate515
Premium
join:2001-01-22
Brooklyn, NY
said by anon12345 :

Please link me to some numbers that show AT&T is bleeding iPhone customers. Real, none arbitrary numbers.

They are not bleeding heavily just yet due to timing of Verizon iPhohe launch and the fact that majority of the AT&T iPhone users are still under contract. This may start to change come this summer when contracts of iPhone 3GS users start to expire and next summer when iPhone 4 users will be free to jump ship as well.

Coupled with the fact that Verizon is ahead of AT&T with LTE roll-out, I think Verizon can do some serious damage to AT&T, at least as far as iPhone is concerned. And if the next iPhone is LTE capable, AT&T is in real trouble then. Apple knows that Verizon will be the first one to the LTE party, and they do not want to miss it as well. IMO, that is one of the reasons why they struck a partnership with Verizon as well.
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See 6 replies to this post
beaups

join:2003-08-11
Hilliard, OH

Opinion stated as news?

There is so much speculation/opinion stated as fact here it's alarming.

"It's easy to understand why he's pushing hard. AT&T is bleeding customers to Verizon since they lost iPhone exclusivity."

"When the LTE iPhone comes out later this year"

Proof?

Morac

join:2001-08-30
Riverside, NJ
kudos:1
Reviews:
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Could you at least label story as Op-ed?

I don't think I've ever seen so many false statements stated as fact in my life.

Here's just two links that show this article is completely non-factual:

Apple confirms LTE iPhone is at least one generation away
AT&T gains customers in first quarter

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WhatNow
Premium
join:2009-05-06
Charlotte, NC

Re: Could you at least label story as Op-ed?

The part about the Uverse build out slowing to a crawl is correct. The wireless part is yea they would have done better if they were the only iphone supplier but Verizon is having some of the same overload problems.
They could do much better and should have started sooner but I remember reading here they did not want to first in LTE they wanted to wait until there were more options and some of the bugs had been worked out. Once you install bleeding edge equipment you have to live with it. Sometime buying version 2 is a better use of funds.

Romney2012
Defeat Obama 2012-Chg we can believe in
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USA
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1 edit

Quinn never said reneging on LTE rollout plans

I also could find no statement by AT&T's Quinn that they were reneging on their LTE buildout schedule. The only statement by Quinn on the subject of data roaming was the following:

»attpublicpolicy.com/government-p···mandate/

“Roaming agreements for both voice and data are in place throughout the country, and were reached through normal commercial negotiations. The evidence presented in this proceeding demonstrated conclusively that proponents of a roaming mandate were seeking government intervention, not to obtain agreements – which are plentiful – but rather to regulate rates downward. While we will thoroughly review today’s order, we continue to believe that a data roaming mandate is unwarranted and will discourage investment and build out of broadband facilities for both those seeking regulated roaming rates and those forced to wholesale facilities at those rates.”

While certainly a negative opinion by Quinn on the FCC's data roaming rule, it doesn't even imply that AT&T will slow down their LTE rollout.

Now maybe Quinn said that elsewhere about reneging on their LTE rollout targets. But I couldn't find such a statement on AT&T's web site or thru a large number of Google searches. If he made such a statement, I would love to see the link.
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puffgussy36

join:2007-01-15
Hampton, NH
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Re: Quinn never said reneging on LTE rollout plans

said by Romney2012:

While certainly a negative opinion by Quinn on the FCC's data roaming rule, it doesn't even imply that AT&T will slow down their LTE rollout.

I work in finance and based on the authors comments, it sounds like AT&T is just throwing in the towel. No way. Not a company this size. Yes AT&T is slow and behind but it is not about to just let VZW take over. Think GM to Toyota. GM hit rock bottom now it is back up as the largest car maker. Apple, MS, all companies that have seen highs and lows and then highs again.

AT&T may be on the down but it is far from out. I know this is long-term projection but I'm not making any calls on AT&T until at least the end of 2012. If by then it STILL does not have its #@$ together, yah then I'll say IDIOTS.

n2jtx

join:2001-01-13
Glen Head, NY
Reviews:
·Optimum Online

Funny!

at&t: The company that cannot shoot straight. Absolutely amazing that as they are trying to kill off T-Mobile and screw us TMO customers, they are claiming they will not do one of the main things the takeover is supposed to do. Perhaps the FCC should immediately declare the proposed takeover dead and call AT&T's bluff.

However, I seriously doubt any real damage is done. The deal will be approved, data roaming will be rescinded and AT&T will still not build out AT&T opting to cash in on whatever T-Mobile customers they can gouge and pocket it.

HaloFans

join:2006-12-18

Shenanigans

AT&T? Improve network?

Cannot divide by zero.

openupshop

join:2000-11-25
Chandler, AZ

Sounds like some people are on ATT LOL

We all know AT&T is crap. They drop calls, rape you on rates and have shitty customer service. And, you guys tolerate this because? LOL

See 27 replies to this post

franknalco

join:2005-01-27
Littleton, CO
Reviews:
·Comcast

Negotiation Tactics

"Even indirectly suggesting they might pull back on the buildout is risky given the likely struggle to get the T-Mobile approved."

Perhaps this is just a ploy. It makes LTE buildout a "concession" for T-Mobile deal approval, when they were really planning on it all along and are, in reality, conceding nothing. The FCC gets to claim they won something, and ATT gives up nothing new. No doubt the general public will applaud the FCC's hard-won concession to get the deal pushed through. Tough bargaining on all sides!

hayabusa3303
Over 200 mph
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att

People are really going to believe you?
tmc8080

join:2004-04-24
Brooklyn, NY
Reviews:
·Optimum Online
·Verizon FiOS

is that a THREAT?

We already have crappy service so, we'll make it 15% more crappier if we don't get our way?!?

Hahaha... Yep, idiots.. the investment is to MAINTAIN market share, and nothing more. Want less custoemrs.. make a wireless network that doesn't work everywhere with data (LTE, 3G++ or whatever Sprint/minority carriers are doing) becoming a MORE important feature than voice!

Lots of reasons Verizon has so many customers is BECAUSE the network can work through walls, into buildings and such where AT&T bounces off them or goes from 4-5 bars outside to signal lost/dropped call inside. LTE becomes a game changer but AT&T wants to hold it hostage at the company's wireless business peril. Lots of business by word of mouth which networks do the job and which don't. Not even the iphone could keep customers loyal.

atuarre
Here come the drums
Premium
join:2004-02-14
College Station, TX

RE

Anyone that thinks an ATT acquisition of TMOB will bring lower prices and better coverage is a fool. ATT is sitting on spectrum. They have a track record for not wanting to do CAPEX unless they absolutely have to.

The price of everything from Internet service to cable TV has been slowly inching up when it should be slowly inching down as technology improves. ATT, if allowed to do so, will gobble up TMOB and then they will charge these higher prices because you know the cost of the acquisition will be passed along to customers until ATT recoups that money and even then prices will not drop.

I hope the merger get denied but chances are, with all the corruption in Washington (Democrats and Republicans) that it will be approved and ATT will cut their budget for the buildout of LTE, and if they don't cut, they will drastically increase the timetable for buildouts.

Dominokat
"Hi"
Premium
join:2002-08-06
Boothbay, ME
kudos:2
Reviews:
·RoadRunner Cable

AT&T sucks

'nuff said.

I understand that there are people who like them. Good for you. Glad it works for you. But, here. Coverage sucks and they don't care because we are not a major metropolitan area worth putting a tower in or upgrading what towers there are. They took my money for 1 year. Thats all they will get from me.

Not to mention the BS games they play to "scare our government into allowing them to do whatever they need to to eliminate competition, or start initiating caps, etc. with doomsday scenario if they are not allowed to." Pfffffffft.....
I trust AT&T like I trust the Devil.... wait. Maybe they are the one and same.

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
Reviews:
·AT&T DSL Service

Ah the old SBC model

"Give us what we want or else we're taking our ball and going home."

This has worked for them for YEARS. I can't believe people put up with this. They threaten "Give us everything we want or we'll never build out, we'll lay people off, we'll have to cut everything and double prices."

And they get it. This is what they did as SBC and they keep pulling the same crap over and over. CALL THEIR BLUFF.
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini

anonanon

@verizon.net

Re: Ah the old SBC model

I don't think you can really call at&t's bluff, because I think they actually are not bluffing at all. In fact they probably weren't planning to build-out that much anyway, but now they can use this as the reason why they aren't building rather than having to come up with some lame excuse. Then, once the rules get changed to terms agreeable to them, they will do the same thing they did with their Fiber network build--do it half-baked, aka FTTN U-verse instead of full FTTH like Verizon.

By the time at&t starts deploying LTE, I bet Verizon will have moved on to LTE-Advanced. Unless of course that's what at&t is waiting for in the first place, maybe they are waiting until LTE-A is standardized and mature enough for deployment and skip LTE altogether.

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
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Re: Ah the old SBC model

They are bluffing because if they do what they threaten to they cut off their own nose to spite their face. If they don't build out, in wireless for example, then their competitors will take their customers. If they do nothing for High-Speed Internet, then you see Muni projects start up.

They will build out and expand.... they just bluff like they won't.

They aren't planning on going out of business--- they just want to to be extra specially profitable with icing on top.
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini
daveburstein

join:2011-04-07
New York, NY

Author here

Thanks for all the responses. Bob Quinn absolutely did not say explicitly they were going to cut their LTE deployment, but what else do they have in broadband to cut significantly? He twice refused to answer questions on the subject. The AT&T President has said T will end U-Verse deployments at 55-60%, which they are scheduled to meet this year. There isn't anything else planned for broadband at AT&T except maintenance, including replacing more 10+ year old DSLAMs.

Which is the point of the item, which I called "?satire." Lobbyists like Bob say far too much that doesn't correspond to what their own company is doing.

On "bleeding iPhone customers to Verizon", what looks like hundreds of thousands have canceled AT&T contracts and switched. Perhaps "bleeding" is not the best word but they are definitely losing enough to hurt.

On LTE iPhone before the end of the year, I should have put in a "probably" because I was working from inference and other journalists reports that were themselves based on rumor. I think, like Dan Jones at Light Reading, that the AT&T rush to get LTE up is for a soon come iPhone. The likely chipmaker (Broadcom) has said the needed chips will be ready this year, incorporating both 4G and a 3G fallover in a single chip. But since I wrote the piece, an analyst I respect has said he thinks the chipmakers are behind schedule.
db

hmm262

join:2001-04-12
Matawan, NJ

Shills, engineers, marketeers, competitors or customers?

What a mixed bag of comments on speculation. I suggest that you let your dollars vote for whatever service provider you want. If you happen to be stuck in an area that you have no choice, sorry 'bout that! I guess you have to suck it up like most everybody else did until they had better choices.

hellofromme

@sbcglobal.net

for the record.

"It's easy to understand why he's pushing hard. AT&T is bleeding customers to Verizon since they lost iPhone exclusivity."

IIRC, in ATT's last earnings report, ATT still was making gobs of money with no significant impact from VZ's iPhone.

APRIL 20, 2011, 12:26 P.M. ET
3rd UPDATE: AT&T 1Q Profit Up 39% On Continued IPhone Strength
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(Adds chief financial officer comment in eighth paragraph and background throughout.)

By Roger Cheng
Of DOW JONES NEWSWIRES

NEW YORK (Dow Jones)--Apparently, there is enough room for two U.S. wireless providers carrying the Apple Inc. (AAPL) iPhone.

Consumers continued to snap up iPhones from AT&T Inc. (T) in the first quarter despite the introduction of Apple's smartphone on the Verizon Wireless network. AT&T said it activated 3.6 million iPhones in the quarter, with nearly a quarter coming from new customers.

The surprisingly strong figure suggests that AT&T weathered the Verizon iPhone storm well, bucking the belief that its prior reputation for poor service would result in a mass exodus of customers. The company, however, spent heavily on smartphone subsidies to keep its growth going.

Selenia
I love Debian
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join:2006-09-22
Lanesboro, MA
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Why upgrade when you can block and throttle

I knew something was up when my AT&T phone could no longer do many things, even low bitrate streaming audio at 3am. Yet, http was fine. An ssh tunnel to my home pc cured all, besides giving some privacy. I think we can be reasonably sure they plan to milk the congested 3G network when they throttle like this, as opposed to upgrading. On another related note, EDGE is faster than 3G at peak hours.

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