Monday, September 17, 2012

AT&T Still Has to Do Something About its Rural Fixed Line Assets

AT&T senior executive VP and CFO John Stephens says AT&T could have a solution for what to do with its rural wireline assets by the end of the year.

The T-Mobile USA acquisition presumably would have helped AT&T "fix" its rural broadband problem by allowing greater use of wireless broadband access to augment fixed network access. 

Fundamentally, the two options are to upgrade the rural lines, probably using new digital subscriber line technology, or divest the lines. Some might argue AT&T would rather divest, but the issue is what entity could be a willing buyer, with the desire and the cash to do so. 

Some might argue that AT&T would be better off simply divesting, if that can be done. 


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