AT&T: Second half capex to be lower than first half

Did AT&T confirm fears that it would cut its network spending in the second half of this year? Not exactly. In reporting second quarter earngs, AT&T officials said they will spend less in the second half of this year than they did in the first half, but that is because they spent more in the first half then they though they would. That's not really an act of cutting spending, but those little details probably will not matter to the vendors who will be seeing less spending out of AT&T in the second half.

In any case, spending still likely will be in the mid-teens percentage of revenue. AT&T spent more than $5 billion in the second quarter, which was more than analysts had expected, according to a Telephony story. The company also said that general economic weaknesses is affecting the broadband services market, but did not say specifically whether broadband network would be an area of less spending.

For more:
- see this story at Telephony