AT&T dedicates $7.1B to expand California U-verse, business fiber footprint
AT&T (NYSE: T) is doubling down on its network buildout in California, announcing that it has invested more than $7.1 billion to expand its local wireline and wireless capabilities throughout the state between 2011 and 2013.
Driven by its $14 billion Project VIP investment plan, the telco made strides in two of its key new revenue areas: residential U-verse and fiber-based services.
The service provider extended its U-verse broadband and video service to almost 331,000 new customer locations and connected 88,851 business locations at 3,197 multi-tenant business buildings and business parks to its fiber network.
California is only one of many states where the telco is expanding its local network capabilities.
It is making similar large investments in its Georgia market, spending $5 billion through 2011 to 2013 to enhance its wireline and wireless network capabilities.
In Georgia, the service provider extended its U-verse Internet and video services to more than 39,000 new customer locations and is delivering fiber-based connections to 16,161 business locations at 641 multi-tenant business buildings and business parks.
Interestingly, the new wave of wireline consolidation driven by Comcast's (Nasdaq: CMCSA) move to acquire Time Warner Cable (NYSE: TWC) has driven the telco to be more aggressive with its Project VIP build.
"We came into 2014 in completing our VIP build," Randall Stephenson, CEO and chairman of AT&T, said at the Morgan Stanley Technology, Media & Telecom Conference. "It puts a heightened sense of urgency on the VIP build, and we're going to be very aggressive pushing hard on completing all the areas of VIP."
- see the release
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