AT&T to invest $14B for wireless and wired networks over three years
Project VIP increases reach and quality of LTE wireless
Computerworld - AT&T will invest $14 billion over the next three years for wireless and wired capital improvements, including an expansion of 4G LTE service to 300 million people by the end of 2014, the carrier announced today.
Previously, AT&T said it would reach 250 million people with LTE by the end of 2013. To get the increase, the carrier plans to buy more wireless spectrum for its LTE service nationwide.
AT&T also plans to deploy small-cell technology, macro cells and distributed antenna systems to increase the density of its wireless network and to improve network quality. In the 22 states where AT&T offers wired voice and data services, the company plans to have its LTE network cover 99% of all customer locations.
The overall project -- called Project Velocity IP, or Project VIP -- brings capital spending to $22 billion per year for the next three years. Earnings per share are expected to grow in the mid-single digits over three years because of greater revenue opportunities from the investments.
Total wireless investments from Project VIP will be $8 billion, and $6 billion for wired investments.
On the wired side, AT&T said it would expand its U-Verse system for broadband Internet by about a third, adding 8.5 million locations for a total of 33 million. Also, U-Verse speeds will be improved to up to 75 Mbps. AT&T plans to expand its fiber network to reach another 1million business customers.
The plan covers many of the capital improvements also being carried out by Verizon Communications and its wireless subsidiary as well as Sprint, although on a different pace and scale.
AT&T CEO Randall Stephenson called the technologies in the project "logical extensions" of projects AT&T has done before. "We are very confident in our ability to execute this plan."
Matt Hamblen covers mobile and wireless, smartphones and other handhelds, and wireless networking for Computerworld. Follow Matt on Twitter at @matthamblen or subscribe to Matt's RSS feed. His email address is email@example.com.
Read more about Wireless Carriers in Computerworld's Wireless Carriers Topic Center.
- 15 Non-Certified IT Skills Growing in Demand
- How 19 Tech Titans Target Healthcare
- Twitter Suffering From Growing Pains (and Facebook Comparisons)
- Agile Comes to Data Integration
- Slideshow: 7 security mistakes people make with their mobile device
- iOS vs. Android: Which is more secure?
- 11 sure signs you've been hacked
- Mobile Policy Checklist Here's what to consider when putting together a mobile policy designed to support a highly productive workforce.
- Mobile Applications Case Study: 8 Billion Transactions a Day The story documents how the online brokerage company tradeMONSTER created a custom mobile app and the success gleaned from this initiative. Also covered...
- Who's afraid of the big (data) bad wolf? Survive the big data storm by getting ahead of integration and governance functional requirements This paper provides a detailed review of the best practices clients should consider before embarking on their big data integration projects.
- Understanding big data so you can act with confidence Automating information integration and governance and employing it at the point of data creation helps organizations boost confidence in their big data.
- Mobile Apps and Devices Slash Customer Cycle Time Consolidated Engineering Laboratories' field employees used to collect data on triplicate forms that were sometimes hard to read and difficult to manage. After...
- Cloud Knowledge Vault Learn how your organization can benefit from the scalability, flexibility, and performance that the cloud offers through the short videos and other resources... All Wireless Carriers White Papers | Webcasts