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AT&T Stops Selling DSL Service

Phillip Dampier October 5, 2020 AT&T, Broadband Speed, Consumer News, Rural Broadband 3 Comments

AT&T stopped accepting orders for traditional DSL service from customers across its landline service area on Oct. 1, and will no longer allow existing customers to change speeds or transfer DSL service if they move to a new address.

AT&T sells three classes of wired internet service to residential customers:

  • DSL: Traditional, old-fashioned DSL is sold primarily in rural and exurban areas that were never upgraded to AT&T’s U-verse service. Download speed is typically between 1-6 Mbps. This service is no longer available to new customers.
  • U-verse: AT&T’s fiber-to-the-neighborhood service delivers 24 Mbps or faster download speed. AT&T uses fiber optic cables between the central switching office and the customer’s neighborhood, where it connects with existing copper wiring that runs down your street and into your home. Most AT&T internet customers are still served by U-verse.
  • Fiber: About 4.3 million former U-verse customers have been upgraded to AT&T Fiber, the company’s fiber to the home service. This upgrade eliminates the copper wiring that runs to your home, which provides for vastly faster internet speeds.

Only AT&T’s DSL service has been discontinued. The company claims about a half million customers still get DSL service from AT&T as of the second quarter of 2020. Most don’t choose DSL by choice. It is often the only option, because the customer lives in a rural area where no other options for internet service exist. That may leave some new customers with no options for wired internet service at all.

“We are focused on enhancing our network with more advanced, higher speed technologies like fiber and wireless, which consumers are demanding,” AT&T said in a statement. “We’re beginning to phase out outdated services like DSL and new orders for the service will no longer be supported after October 1. Current DSL customers will be able to continue their existing service or where possible upgrade to our 100% fiber network.”

AT&T has been slowly expanding its wireless 4G LTE home internet service in select rural areas, but the service is unlikely to reach all the areas now shut out of DSL service.

While AT&T’s rural customers have been left behind, prices for AT&T Fiber are coming down, at least for new customers. Spectrum and Comcast have offered attractive new customer promotions in areas served by AT&T, and the phone company is now responding with better offers. New customers can now get 100 Mbps from AT&T Fiber for $35 a month, 300 Mbps for $45 a month, and 1,000 Mbps for $60 a month (all promotions good for 12 months and do not include equipment fees or taxes).

Verizon Announces Expansion of Rural Unlimited 4G LTE Wireless Home Internet to 189 Markets

Verizon has announced a significant expansion of its 4G LTE Home Internet service, now reaching 189 markets in 48 states.

“This summer, we introduced LTE Home Internet in select pilot markets, and the response from customers was incredible,” said Frank Boulben, senior vice president of consumer marketing and products at Verizon. “It’s clear the need for connectivity has never been greater during these challenging times, that’s why today, we’re expanding LTE Home Internet to even more customers in rural areas of America who may not have access to broadband internet.”

Indeed, most of the zip codes covered by Verizon’s wireless home broadband service are in rural communities where demand on Verizon’s 4G mobile network is likely much lower, with capacity to spare. The service is designed primarily for those living where DSL or cable broadband is not available.

For $40 a month for existing Verizon mobile customers ($60 for non-customers), customers receive unlimited data with no data caps or throttles at download speeds between 25-50 Mbps. A $240 LTE Home router is also provided, after a $10 a month device payment plan promotional credit that lasts for 24 months. In other words, you technically owe $240 for the router, with a balance reduction of $10 for each month you stay a customer. If you remain a customer for two years, that $240 is reduced to $0.00. If you cancel before that, you owe whatever balance remains. Verizon promises the service is easy to self-install.

The list of available zip codes is extensive, so you can download the current list here. Or verify precise availability by visiting: www.verizon.com/home/lte-home-internet.

W.V. Orders Frontier to Improve Service to Address Over 1,300 Complaints in Last 12 Months

Phillip Dampier September 30, 2020 Consumer News, Frontier, Public Policy & Gov't, Rural Broadband 1 Comment

Frontier is the dominant phone company in West Virginia.

The West Virginia Public Service Commission has ordered Frontier Communications to make significant improvements in its aging copper wire telephone network after a comprehensive investigation found the company’s landline phone service and broadband to be lacking.

The order comes two years after the state began investigating the phone company and six months after a service audit was completed. In the last year, 1,342 complaints about poor service were filed with the state’s Public Service Commission.

“Frontier customers in this state remain plagued with service problems even as the customer base – and the corresponding revenue – declines. The Focused Management Audit was designed to find the underlying service quality problems, and possible solutions, in the hopes of placing Frontier on a better path,” the report concluded.

Over the past two years, Frontier gradually implemented some of the recommendations made by the state, particularly a more robust tree-trimming program to pre-emptively reduce tree-related outages and an automated system that can detect service issues and outages before customers call to complain. But Frontier’s larger problem is its lack of investment in network upgrades, particularly related to replacing old copper wire infrastructure with fiber optics. The study identified the 25 worst exchanges in the state most plagued by service outages and complaints and demanded that Frontier rehabilitate or upgrade those areas to improve service. But the company has refused the Commission’s request to deploy fiber optic connections to every cross-box in the state, which connects Frontier’s network to neighborhood phone lines. Such an upgrade would dramatically reduce Frontier’s reliance on copper wiring and improve phone and internet service.

Frontier rejected the idea as “unfeasible,” claiming it would cost $100 million to complete fiber connections to each of Frontier’s 3,255 existing cross box locations. If the company moved to digital phone service across those fiber lines, the cost would rise to $200 million, according to Frontier, adding it would have no choice but to pass these costs onto customers in the state.

“Given the exorbitant expense associated with such a comprehensive endeavor, the cost of voice service would consequently increase to unsustainable levels,” the company claimed.

Yet earlier this spring, at the height of the pandemic and after declaring bankruptcy, Frontier paid out $38 million in retention bonuses to its top executives, urging the same people who presided over the company as it went bankrupt to remain on the payroll at least until the bankruptcy was discharged.

The state was given an early warning about Frontier’s decreasing performance in July 2019 after an auditing firm found the company financially troubled and had cut back dramatically on ongoing maintenance spending. The auditor also reported Frontier was likely losing customers fast and would soon feel the financial pressure of lost revenue. Just as bad, the auditor reported Frontier’s ability to stay ahead of its service problems could be compromised further by the likely retirement of more than half of the company’s most experienced service technicians in the next five years.

The auditor correctly predicted Frontier’s financial health. The company declared Chapter 11 bankruptcy in April and is reorganizing. The company claims it will exit bankruptcy in much better financial shape, with much of its debt discharged or renegotiated by creditors. In turn, Frontier has promised to boost investment in network fiber upgrades, but has not been specific about what areas it will target. A hearing to discuss some of these matters is scheduled for Oct. 28.

Even with Frontier’s imminent exit from bankruptcy, West Virginia officials remain concerned about the phone company’s commitments and whether the new management will continue to honor earlier agreements with state officials.

 

Verizon’s “Unlimited” Confusion Plus Plan Now Really Means 30 GB Data Cap, Except When Its 50 GB

Verizon wireless plans: now more confusing than ever.

The concept of “unlimited data” rarely means unlimited on mobile plans and it can get very confusing for consumers trying to figure out what each carrier defines as “unlimited.”

Verizon has announced some plan changes that are not helping resolve this confusion.

As of late last week, Verizon introduced a new version of its “Unlimited Plus” plan, which attaches to existing wireless plans for an extra $30 a month. Then, if you would like to connect more devices to your plan beyond your phone, you can sign up for an unlimited connected device plan and upgrade to Unlimited Plus for another $10 a month. If you have a tablet or hotspot, Verizon will sell you another unlimited plan for those for an extra $20 a month.

What? Confusing!

Customers enrolled in the older standard “Unlimited Plus” plan received unlimited data up to 15 GB before a speed throttle kicked in. The new “Unlimited Plus” offers unlimited-unlimited 5G and up to 30 GB of “premium” 4G LTE data. So it appears you get double the unlimited data as well as an infinite amount of 5G service which is probably not provided in your area (or if you turn the corner, or go indoors in an area that has the service). But if you are connecting a hotspot, laptop, or tablet to your plan, then Verizon redefines unlimited again, this time to mean up to 50 GB of 5G data (almost not available anywhere) and then you get speed throttled to 3 Mbps for the rest of the billing cycle, but just on those devices.

Oh by the way, if you have an Apple Watch, Verizon has a plan for that as well, now priced at $10 a month, which gets you 15 GB of premium data, presumably on the watch.

Windstream Emerges from Bankruptcy, Promises More Fiber Broadband

Phillip Dampier September 22, 2020 Consumer News, Rural Broadband, Windstream Comments Off on Windstream Emerges from Bankruptcy, Promises More Fiber Broadband

Windstream’s new logo

Windstream has emerged from Chapter 11 bankruptcy as a new privately held company controlled by Elliott Management Corporation, an activist hedge fund known for squeezing expenses out of companies and eventually selling its stake and exiting the business.

As a restructured company, Windstream shed almost two-thirds of its debt, amounting to more than $4 billion. The company will almost immediately tap $2 billion in new capital, targeting more spending on shedding copper wiring in several of its service areas, replaced by gigabit fiber that will primarily target its business customers. Windstream’s budget to upgrade residential customers is reportedly considerably less, but some customers will see upgrades in the future.

“Today marks the start of a new era for Windstream as an even stronger, more competitive company,” Windstream president & CEO Tony Thomas said in a statement released late Monday. “With the support of our new owners and current operational momentum, Windstream will continue advancing our long-term growth objectives while providing our customers with quality and reliable services.”

Thomas

The most immediate change most customers will notice is a new logo, which the company says aligns with the three segments of the business: consumer broadband, business customers, and wholesale/reseller clients.

Paul Sunu, who used to serve as the CEO of FairPoint Communications before it was sold to Consolidated Communications, is Windstream’s new chairman of the board.

“Tony and the Windstream team have made significant strides in the last 18 months to better position the company to compete for the long term,” Sunu said Monday. “The new board and I are confident that we have the right management team and right strategy to accelerate Windstream’s transformation, return to growth and drive sustainable value creation.”

Windstream was a publicly traded company since its 2006 spinoff from Alltel Corporation. As a private company, it will now answer primarily to its debt holders who acquired the company’s old debt in its bankruptcy.

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