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  • AT&T Needs $5 Billion to Catch Up to Verizon: Analyst


    AT&T would need to spend about $5 billion US on its wireless network to catch up with the coverage offered by Verizon Wireless, a financial research analyst said Tuesday, as reported by PCWorld.

    Gerard Hallaren, director of research at TownHall Investment Research, said that AT&T spent only about $21.6 billion US from 2006 through September 2009 compared with $25.4 billion for Verizon Wireless over the same time period. Even when looked at on a per-subscriber basis, Verizon has spent far more: $353 per subscriber compared with $308 for AT&T, Hallaren said. Verizon Wireless has 89 million subscribers compared to AT&T's 82.5 million.

    That failure to invest in its infrastructure has been the major cause of AT&T's poor network performance, the analyst says. Although AT&T's wireless business is its top money maker - its "absolute engine of profitability," as Hallaren puts it, bringing in 57% of its income - the majority of the carrier's spending goes towards its wired infrastructure. It put major investment into the U-Verse internet/television/telephony service, and Hallaren says his analysis is that AT&T will probably not get a good return on that investment. U-Verse brings fiber into neighborhoods and uses copper for the connection to individual homes, while Verizon's FiOS brings fiber all the way to the home and delivers better performance.

    Verizon, the number one carrier in the US, and AT&T, the number two, have been in a heated ad campaign over the last year, with AT&T suffering from poor customer perception of their services. AT&T's wireless service came in last in terms of customer satisfaction in a Consumer Reports survey last month.

    image via Gizmodo
    This article was originally published in forum thread: AT&T Needs $5 Billion to Catch Up to Verizon: Analyst started by Paul Daniel Ash View original post
    Comments 32 Comments
    1. jaminmc's Avatar
      jaminmc -
      Quote Originally Posted by jaminmc View Post
      For People who have a lot of dropped calls on the Iphone, and have BlackSn0w installed, Blacksn0w can be the cause for a bunch of the dropped calls!!!!

      If you are on a call, and your phone uses a decent chunk of Data during the call it will drop the call!!! I have confirmed that it is a bug in BlackSn0w!

      Test it if you don't believe me. Place a call, and run mobile speed test. You will loose signal for 5 seconds, as your iphone drops Data and voice at the same time...

      So if your phone check the mail, and downloads an attachment, it will probably drop the call. Seems that minor data usage doesn't always interrupt the call/ signal.


      I still don't know if Geohot is even aware of the bug because of everyone complaining about a tethered jailbreak.
      Quote Originally Posted by Melech518 View Post
      You are wrong and experiencing an isolated incident!
      Sorry, I have tried many different iphones with blcksn0w in 3g mode, Both 3g & 3gs's and all of them did it. Get the speedtest.net app, and place a phone call. While the call is active, run the test. I guarantee that it will loose the call within 1 or 2 tests. If you uninstall BlackSnow, it will run the tests all day. put BlackSn0w on, and it doesn't.

      Preforms the same, whether I do a clean restore, then run blackRa1n, or if I install it through Cydia on my Rom I made with dev teams pawnage tool.

      UltraSn0w was a much better Unlock, and I am soo regretting updating my baseband.
    1. rhekt's Avatar
      rhekt -
      well this really isn't all that much of a gap. seeing as how i switched from Verizon to At&t due to coverage disabilities with Verizon [not for the iphone] prooves, if not to you, most definately to myself, that Verizon is inferior to At&t.
    1. Channan's Avatar
      Channan -
      Sucks for all you people! I have great service with AT&T, great speeds, no dropped calls, and love being able to use data while I'm on a phone call. Wouldn't switch to Verizon even if they did have the iPhone.
    1. jaminmc's Avatar
      jaminmc -
      Quote Originally Posted by rhekt View Post
      well this really isn't all that much of a gap. seeing as how i switched from Verizon to At&t due to coverage disabilities with Verizon [not for the iphone] prooves, if not to you, most definately to myself, that Verizon is inferior to At&t.
      Yea, I wouldn't go to Verizon either. They remind me of the Borg on Star trek. Where I live, and in my whole neighborhood Verizon's signal is horrible, and my At&t is awesome. Not to mention that the 3g is way faster on At&t here. Also the simultaneous data and voice is awesome. I don't know how I lived without it on Sprint. (I used to have the HTC touch pro)

      Now that being said, when I went to Colorado Springs for Christmas, I was amazed at how spotty and crappy At&T's coverage is there. It was also the first time I saw the GPRS icon on my phone. Even sprint has far superior coverage there.

      So it all depends on what market you are in. Charlote, NC seems to be a test market of sorts. Like Sprint has 4g here already, and At&T has already done the 7.2 UMTS upgrade here.

      Quote Originally Posted by €hR!$ View Post
      Sucks for all you people! I have great service with AT&T, great speeds, no dropped calls, and love being able to use data while I'm on a phone call. Wouldn't switch to Verizon even if they did have the iPhone.
      You must be in a good area like mine . Even when I visited Colorado Springs, sure I was frustrated with the crapy coverage there, but it didn't make me want to run into the arms of the Borg.

      It made me thankful of the coverage I have in Charlotte. I stream music with ooTunes all the time, and dont loose the stream when I drive around Charlotte. I even skype with my babe in Egypt while I am driving home from work. Nice and solid the whole way. And I even live in South Carolina.(Got to LOVE 3g unrestrictor)
    1. smuggler's Avatar
      smuggler -
      ATT isn't that bad, i get much better coverage now that I switched from tmobile. I'd like to see my phone get even more coverage though, I still can't complain, At least I don't have metro p.o.s.( piece of sh1t), or tmobile( t-crapbile).
    1. rwin84's Avatar
      rwin84 -
      woah guys! its information we already knew!
    1. merllen's Avatar
      merllen -
      I dont know why you peeps just dont go over to T-mobile , I have had 2 iphones over the last 3 years on there network with no problems at all. I have had them for 7 years and hardley have any call problems there customer service kicks *** and won the JD power award for it like 4 years running. Plus you can be on wifi and talk at same time .i have an unlimited voice , text data plan for 79.99 a month. While you guys at att complain everyday and pay like 130 a month. Even if you cancel with the fee of 175.00 It would only take you about 4 months to get the difference back. Look into it everyone well worth it!
    1. merllen's Avatar
      merllen -
      I know becuase that extra 7 second atvantage on 3G is worth an extra 40 bucks a month , come on brotha..plus there's wifi spots everywhere and the egde isnt to bad for what i do im not on my iphone browser every 2 seconds anyway.
    1. ALL DAY's Avatar
      ALL DAY -
      Quote Originally Posted by merllen View Post
      I know becuase that extra 7 second atvantage on 3G is worth an extra 40 bucks a month , come on brotha..plus there's wifi spots everywhere and the egde isnt to bad for what i do im not on my iphone browser every 2 seconds anyway.
      True true. Although AT&T's 3G for iPhone is now $20 but T-Mobile's EDGE is faster for sure.
    1. TheDirtyDiddler's Avatar
      TheDirtyDiddler -
      Quote Originally Posted by kraziebone View Post
      "AT&T suffering from poor customer perception of their services"

      It's not the perception of AT&T's services that is hurting AT&T, it's their actual services.
      Well said.
    1. jaminmc's Avatar
      jaminmc -
      Quote Originally Posted by ALL DAY View Post
      True true. Although AT&T's 3G for iPhone is now $20 but T-Mobile's EDGE is faster for sure.
      $20? Where??????? Mine still says it is $30, and no place to change it.
    1. ALL DAY's Avatar
      ALL DAY -
      They just dropped it recently because Verizon dropped theirs. I think it should happen automatically soon.