) has reportedly collaborated with digital communications
company, EE for providing roaming services to its customers while
traveling in the UK. Besides expanding roaming services in
Canada in partnership with
Rogers Communications Inc.
), AT&T remains one of the first to expand LTE roaming in the
U.K. for U.S. travelers.
We believe the new agreement with U.K. based EE will not only
add facilities for the existing customers but will also foster
According to news reports, EE's share in the U.K. 4G business
remains significant as its coverage spans 160 markets. As a
result, we expect AT&T customers to benefit from the deal,
resulting in additional revenues from roaming services. Further,
the move signifies the company's effort to grow beyond a highly
mature and competitive wireless market in the U.S.
In Sep 2013, the company announced plans to expand in the
Latin American market through tie-ups with leading Latin American
telecom carrier -
AT&T now expects to extend beyond key markets like Mexico
and Brazil to countries like Costa Rica, the Dominican Republic,
Ecuador, El Salvador, Guatemala, Honduras, Nicaragua, Paraguay,
Peru and Uruguay. The company is already in a network
sharing agreement with America Movil. Per this agreement,
AT&T its network within Latin America and offshore key
markets throughout the world, including growth regions like Asia
and the Middle East.
We believe AT&T's strategic alliance with America Movil to
grow in South America was in response to
Verizon Communications Inc.
) intention to step into the Canadian Telecommunication market.
Though Verizon Communications later backed out after acquiring
its remaining 45% stake in Verizon Wireless.
Further, AT&T struck a global networking services deal
with New Zealand-based Opus International Consultants.
Going forward, we foresee significant revenue sources from
AT&T's collaborations with mega carriers in different
countries on various services. These deals are expected not only
to expand the company's reach beyond its home turf, but also help
establish a foothold in the international market and re-brand it
as a global wireless operator.
AT&T has a Zacks Rank #3 (Hold).
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