Catching up with the latest smartphone trend,
) will be launching the latest Samsung premium smartphone -
Galaxy S4 - in Jun 21. The handset will be available for $199.99
on a two-year contract. We believe the latest addition of premium
handsets will drive customer additions and upgrades leading to
revenue accretion for the company.
This year, AT&T rolled out
Research in Motion's
) BlackBerry Z10 with the aim of adding customers. The company in
its latest update on its second quarter performance indicated a
surge in its wireless business, in particular the post-paid
segment, following promotional strategies that it had undertaken.
These initiatives resulted in increased smartphone upgrades along
with sales. AT&T is now primarily focused on adding
devices that mostly support 4G LTE to its equipment portfolio.
This is because the company has accelerated its 4G Long-Term
Evolution (LTE) and remains ahead of schedule.
The company boasts the best Internet speeds in the industry as
it is the only U.S. carrier that provides 4G networks through
both Long Term Evolution (LTE)and High-Speed Packet Access Plus
(HSPA+) technologies. AT&T's LTE networks serve asthe
benchmark of mobile technology and the life-blood for operators
across the world. The LTE expansion of the company is also
supported through Project Velocity. Under this project, AT&T
will invest $14 billion in the coming three years to considerably
expand the wireless (investment of $8 billion) and wireline
(investment of $6 billion) Internet Protocol (IP) broadband
The company targets to extend the wireline IP network to
nearly 57 million customer locations (including both customers
and small businesses) - covering 75% of AT&T's wireline
service area - by the end of 2015. This project underlines the
company's efforts to meet the growing demand for high-speed
Internet. We believe that this investment program will provide
AT&T with a high-potential growth platform, leading to higher
revenues and improved earnings per share over the near term.
AT&T, currently has Zacks Rank #3 (Hold).
) with Zacks Rank #2 (Buy) are two stocks we find worth
considering in the telecom sector.
RESEARCH IN MOT (BBRY): Free Stock Analysis
AT&T INC (T): Free Stock Analysis Report
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