Comcast to Launch Wireless Service by Mid-2017--Update
September 20 2016 - 10:45AM
Dow Jones News
By Shalini Ramachandran
Comcast Corp. Chief Executive Brian Roberts said Tuesday the
cable giant is aiming to launch a wireless service by mid-2017,
creating a new line of business that could help the company better
retain customers in a fiercely competitive market.
Speaking at the Goldman Sachs Communacopia investor conference
Tuesday morning, Mr. Roberts said the product will take advantage
of Comcast's 15 million Wi-Fi hot spots and use leased airwaves
from Verizon Communications Inc. Comcast has a deal with Verizon
dating back to 2011 that allows the cable company to sell wireless
service using the telecom carrier's network at set terms and
pricing.
Mr. Roberts said that because Comcast has a "good fair
relationship" to sell on a wholesale basis, "we won't have to make
the kind of investment" needed otherwise, such as cell towers and
other infrastructure.
"We believe there will be a big payback with reduced churn, more
stickiness and better satisfaction," Mr. Roberts said.
Mr. Roberts said Comcast will market the wireless service inside
its existing footprint, to existing and potential Comcast cable
customers, as opposed to nationwide. The company is interested in
upselling customers to a bigger bundle of services.
Comcast has explored entering wireless for several years. For at
least a year, the company has been seriously weighing its options,
engaging in discussions with Verizon and testing potential
services.
Write to Shalini Ramachandran at
shalini.ramachandran@wsj.com
(END) Dow Jones Newswires
September 20, 2016 10:30 ET (14:30 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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