Analyst Estimates AT&T Needs To Spend $5B To Catch Up

itwbennett writes "The public's perception of AT&T's network is poor and declining, apparently because of real shortcomings when compared with Verizon Wireless and Sprint Nextel,' says Gerard Hallaren, director of research at TownHall Investment Research. 'AT&T's capital expenditures on its wireless network from 2006 through September 2009 totaled about $21.6 billion, compared with $25.4 billion for Verizon and $16 billion for Sprint (including Sprint's investments in WiMax operator Clearwire). Over that time, Verizon has spent far more per subscriber: $353, compared with $308 for AT&T,' Hallaren said. 'Even Sprint has outspent AT&T per subscriber, laying out $310 for network capital expenditure.' All this means AT&T has a choice, says Hallaren: 'spend or suffer.'"

Comments

Re:Buh bye AT&T, enjoy history's dust bin

[afidel]

Besides that with ~9M iPhone subscribers they are pulling in over $630M per MONTH meaning even if the $5B figure is right they have to spend less than 8 months revenue from just the iPhone to upgrade their network that they have neglected for years.