AT&T Communications Chief Executive Officer Jeff McElfresh Discusses Closing the Digital Divide with USTelecom Members
December 04 2020 - 5:00PM
Business Wire
Jeff McElfresh, chief executive officer of AT&T
Communications, spoke yesterday at the USTelecom Broadband
Investment Forum. He discussed the country’s digital divide,
touching on the following areas:
Current state of broadband: Since 1996, U.S. providers
have invested nearly $2 trillion to build and operate advanced
networks. And over the past 5 years (2015-2019), AT&T invested
more than $125 billion in our U.S. wireless and wireline networks,
including capital investments and acquisition of wireless spectrum
and operations. It’s no coincidence that the U.S. led the world in
4G. And we’re now seeing a repeat performance for 5G, with 5G
networks from 3 carriers already live. The benefits of all this
investment and innovation are striking. Compared to 2015, industry
broadband speeds are up 16% while costs are down 20%.
Digital Divide: But this good news doesn’t apply to every
American. There is a deep gap separating those with and without
broadband internet access. The latest FCC figures estimate that
about 14.5 million Americans lack access to fixed broadband at
speeds of at least 25/3 Mbps. This is the case even though
broadband providers are rapidly pushing faster services into more
and more areas. While some 98% of Americans in urban areas do have
access to broadband networks, this is true for fewer than 80% of
rural Americans. That 14.5 million figure only captures the issue
of fixed broadband availability. It does not include consumers who
rely entirely on their mobile phone for internet access. Still,
availability is a major concern, as is affordability. The barrier
to access for millions of other Americans is the cost of broadband
service and equipment.
Lessons from COVID: Half of U.S. adults say the
internet’s been “essential” during the pandemic. 60% of Americans
have been able to work from home thanks to high-speed internet. 50
million students transitioned to remote learning. Yet some 17
million students remain effectively locked out of instruction
because their families lack access to internet connectivity or
adequate devices at home. This “homework gap” is the crisis within
the COVID crisis.
Steps needed to close the digital divide:
- Urge Congress to fully fund the Broadband DATA Act.
- Revamp our universal service programs with direct
appropriations from Congress.
- Let those who engineer and build broadband networks decide
which technology delivers the best solution.
- Keep the light-touch regulatory approach that’s served our
country so well.
That light-touch regulatory approach has encouraged sizable
private investment in U.S. networks in the past and can in the
future, as well. In that regard, McElfresh said AT&T intends to
continue investing in its fiber infrastructure and may double the
number of business, residential and wireless cell tower locations
served with fiber over the next 5 years.
*About AT&T Communications
We help family, friends and neighbors connect in meaningful ways
every day. From the first phone call 140+ years ago to mobile video
streaming, we @ATT innovate to improve lives. AT&T
Communications is part of AT&T Inc. (NYSE:T). For more
information, please visit us at att.com.
Cautionary Language Concerning Forward-Looking
Statements
Information set forth in this news release contains financial
estimates and other forward-looking statements that are subject to
risks and uncertainties, and actual results might differ
materially. A discussion of factors that may affect future results
is contained in AT&T’s filings with the Securities and Exchange
Commission. AT&T disclaims any obligation to update and revise
statements contained in this news release based on new information
or otherwise.
This news release may contain certain non-GAAP financial
measures. Reconciliations between the non-GAAP financial measures
and the GAAP financial measures are available on the company’s
website at https://investors.att.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20201204005604/en/
Fletcher Cook AT&T Phone: 214-912-8541 Email:
fletcher.cook@att.com
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