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AT&T to Spend $14 Billion to Upgrade Wireless Networks

By - Source: AT&T | B 18 comments

4G LTE coverage to reach 300 million consumers by the end of 2014.

U.S. carrier AT&T has announced an ambitious plan to upgrade its wireless networks through investment totaling $14 billion.

Project Velocity IP, otherwise known as VIP, will receive an investment of $14 billion over the next three years. $8 billion will be focused towards its wireless division and a further $6 billion for wireline.

The investment is designed to expand the company's 4G LTE coverage for its wireless network, as well as delivering a faster service and more fiber-optic lines. On the landline side of its investment, it'll receive expanded U-Verse availability.

"This directly addresses the strategic questions concerning our spectrum position and gives us a bigger platform for new growth," AT&T CEO Randall Stephenson said. "The last five years have been an adrenalin rush, and in the next five years the cloud technology will drive even more change. The past five years changed communication industry, but over next five years every industry will change and there will be demand for high-speed secure networks."

The carrier also announced that it will be extending its 4G LTE coverage to 300 million consumers by the end of 2014, which is 50 million more customers than previously planned. AT&T expects to cover 99 percent of all customer locations through the deliverance of 4G LTE.

Project VIP's upgrade plan will result in considerably higher speeds for customers. The firm will eventually be able to offer 90 percent of its U-Verse region 75 megabits per second, while 75 percent will receive speeds of 100 megabits per second.

When the investments are completed, AT&T said 90 percent of its overall revenue will derive from its high-growth area, with the carrier aiming to discontinue traditional phones and landline connections.

 

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Top Comments
  • 11 Hide
    Anonymous , November 7, 2012 7:13 PM
    100 megabits per second with a 20GB monthly cap...
Other Comments
  • 4 Hide
    RADIO_ACTIVE , November 7, 2012 7:08 PM
    About time, they have been raping people right and left for a while...
  • 11 Hide
    Anonymous , November 7, 2012 7:13 PM
    100 megabits per second with a 20GB monthly cap...
  • 5 Hide
    kyuuketsuki , November 7, 2012 7:26 PM
    Quote:
    AT&T to Spend $14 Billion to Upgrade Wireless Networks
    Quote:
    Project Velocity IP, otherwise known as VIP, will receive an investment of $14 billion over the next three years. $8 billion will be focused towards its wireless division and a further $6 billion for wireline.
    So, the headline is wrong. "Only" 8 billion is going toward the wireless network. 14 billion is the combined total for the investments into wireless and wireline.
    traans100 megabits per second with a 20GB monthly cap...
    Current monthly cap on U-verse is 250GB. Not that I'm defending having a cap, but if you're going to complain at least get your facts straight.
  • 3 Hide
    bak0n , November 7, 2012 7:34 PM
    And. I'm leaving them when my contract expires anyways so don't care.
  • -2 Hide
    spartanmk2 , November 7, 2012 7:38 PM
    Does this mean the cell tower near my house will get camoulfage?
  • 2 Hide
    Thunderfox , November 7, 2012 7:45 PM
    With bandwidth caps and crackdown on file sharing, all this bandwidth will mostly benefit Netflix and Hulu and places like that.
  • -5 Hide
    noob2222 , November 7, 2012 7:46 PM
    I wonder who gets to pay for this upgrade?

    hidden fine print : current AT&T customers will see a 50% increase in their bill over the next 5 years.
  • -1 Hide
    spentshells , November 7, 2012 7:55 PM
    noob2222I wonder who gets to pay for this upgrade? hidden fine print : current AT&T customers will see a 50% increase in their bill over the next 5 years.


    Dude it's already paid for by every person who went 1GB over in the last few years trust me this was a cash deal
  • 2 Hide
    frank_drebin , November 7, 2012 7:57 PM
    will i get get 4 bars at home, then?
  • -4 Hide
    nebun , November 7, 2012 8:32 PM
    where do they get this kind of money???
  • -2 Hide
    jaber2 , November 7, 2012 9:19 PM
    I feel a split coming, then a take over after it goes bankrupt for going over budget.
  • 2 Hide
    Darkerson , November 7, 2012 10:25 PM
    As others have said, it's about fucking time. They have been dragging this out for FAR too long. Its been the main reason i wont use AT&T, especially after the Iphone came out. Hopefully they dont backpedal or drag it out more than they have.
  • 1 Hide
    goodguy713 , November 7, 2012 11:13 PM
    KyuuketsukiSo, the headline is wrong. "Only" 8 billion is going toward the wireless network. 14 billion is the combined total for the investments into wireless and wireline.Current monthly cap on U-verse is 250GB. Not that I'm defending having a cap, but if you're going to complain at least get your facts straight.


    here in Indiana i have gone well over 250GB cap plenty of times and have never been throttled because of it.. or charged ... although most of my network usage involves watching 1080P streaming content and or game downloads from sites like steam or origin .. this is great news for subscribers considering the max speed currently is topped out at 24 Mbit a second .. in my area
  • 1 Hide
    echondo , November 7, 2012 11:28 PM
    Southern California, been with AT&T since the mid 90's, upgraded to U-Verse back in 2010. I have no monthly data caps and I pay around $100+ for 13 static IP's and 20Mb down, ~5Mb up. Not ideal, but it's better than what I was using before.

    This better not pose insane prices, I should be able to get the 75Mb-100Mb per second data rates at the same price I'm paying now, if not, then AT&T is losing a honest costumer to Charter.
  • 1 Hide
    CaedenV , November 8, 2012 2:34 AM
    It's about time a cell company invested in some infastructure! But I am not going to get internet that runs a hundred miles an hour but has a cap on it! When I really get into an HD series I can blow though 250GB in a few weeks easily. I am not about to start watching my usage any time soon.

    I am on time warner cable at the moment, they are not 'great' but at the same time I have no real complaints. I normally get doubble the bandwidth I pay for, and rarely does it slow down (thank god for elderly neighbors?). However, I am beginning to see the added benefit of having a decent uplink so that I can have easier access to my files when I am out of the home (upload on cable is awful), so I really really want fiber. Cincy Bell promised my fiber at my address 3 years ago. Last year they finally put a fiber line in my area... and it stops literally 50 feet from my house. It has been a whole year of a fiber line sitting there, staring at me, and the only response I get form Cincy Bell is that 'fiber is not yet at you address, but we plan on having it available soon'...

    grr
  • 0 Hide
    pwnbroker2 , November 8, 2012 1:11 PM
    ATT spent 20.1 billion in capital expenditures in 2011. no big deal, telecoms spend more than any US company on capital projects. but what i thought was interesting about this news release was that there was no mention of the 26 page FCC filing requesting their consideration for TDM network turndown and conversion to all IP based telephony.
  • 1 Hide
    Star72 , November 8, 2012 1:13 PM
    It is about time. I live in a rural area & even though I have a tower 1 mile from my house I can't even get 3G. In fact, the larger towns about 20 miles away have 3G from both Sprint & Verizon but not AT&T. It really surprises me that it doesn't affect their business in this area more than it does. Hopefully these upgrades they plan on doing will finally get them caught up a bit.
  • 0 Hide
    blackened144 , November 9, 2012 2:25 PM
    spartanmk2Does this mean the cell tower near my house will get camoulfage?

    The tower nearest my condo in South Florida looks like a palm tree.

    traans100 megabits per second with a 20GB monthly cap...

    Ive had U-Verse for a few years now and usually download over 250gb a month with my newsgroup service alone and never had any issues.