In the shadow of iPad doom, AT&T promises to do better
If one just considers the numbers, Ma Bell’s commitment to build out and improve its wireless network is impressive. In fact, the nation’s number two carrier has said it will boost spending by $2 billion to add more towers and backhaul, with an emphasis on improving things in San Francisco and Manhattan.
When Steve Jobs announced that AT&T was to be the iPad’s 3G carrier, many people were shocked. Although the announced 250MB for $14.99 and “unlimited” (5GB) for $29.99 monthly subscription rates, which also include unlimited AT&T hotspot access, aren’t evil, there’s considerable doubt Apple’s still exclusive U.S. 3G wireless partner will be able to deliver.
Thereupon, News.com writes that AT&T has boosted its planned infrastructure investments for 2010 to $20 billion, which is about $2 billion more than it plowed into its network last year. According to Chief Operating Officer John Stankey, AT&T plans to add 2,000 new cell sites and upgrade existing cell sites with three times more fiber links than it had in 2009.
Further, Ma Bell is adding one-third more 3G radio capacity in trouble spots, like Manhattan. However, in San Francisco, “zoning issues” have prevented the company from adding needed capacity, an issue that apparently hasn’t affected arch rival Verizon.
All of this, says Stanky, means AT&T is “closing the gap” with Verizon and that the 4G LTE upgrade will “be easy.”
The iPad looms
Still, however heroic Ma Bell’s efforts are, it’s hard to imagine the carrier will be ready to support yet another game-changing wireless Apple device that’s targeted at delivering high volumes of digital content.
Additionally, whereas AT&T expects iPad users to cluster around the company’s more than 20,000 Wi-Fi hotspots, it’s difficult to imagine anyone that’s paying $30 a month for wireless everywhere will happily cruise around town looking for an open hotspot. Honestly, these are the same high-maintenance (and bitchy) people that have soured Ma Bell’s reputation.
So, I’ll put it to you — do you believe AT&T will be able to meet 3G demand once the iPad goes on sale? Is AT&T an iPad deal breaker?
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January 31st, 2010
Apple’s new computer will rapidly blow up after the first pumped up time during it’s launch. The touch screen and Apple’s potential to fix hardware will definitly to make the iPad a success story in the time ahead.
January 31st, 2010
AT&T will get it right. Hopefully. This is how their bread is buttered and clearly THIS IS THE FUTURE. My only concern is the AT&T dumbass who publicly stated that they need to figure out a way to get people to use less internet. Bozo. We don’t want to use less. We want AT&T to build more. And they can’t say it isn’t profitable since in 2009 they showed a huge profit.
Another way to look at it: Steve Jobs knows how important this is and I don’t see him signing up for more of the same.
January 31st, 2010
I certainly hope not. I got the iPhone for Christmas and was ecstatic!!! I brokenheartedly took it back within two weeks… TERRIBLE SERVICE… TERRIBLE ! ! I LOVED the iPhone, but couldn’t put up with all the dropped calls and unavailable service areas. I couldn’t even use it in my own home..and I live in the city !! I had disconnected my land line phone over a year ago and just use my cell. Once I got home, I was out of contact. Why would Apple even want an exclusive contract with any carrier??? To me it is limiting their sales and profits.
February 1st, 2010
It looks like Jobs is doing someone at AT&T? LOL.
Here in Canada we can choose a carrier.
February 2nd, 2010
no, that is not burning toast, it’s the new at&t infrastructure build-up burning out.
February 20th, 2010
The Ipad looks like fun to play with, but I doubt if you can really work with it? But many people will buy it because of it look.