We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
AT&T Unveils Industry's First Three-Pronged 5G Strategy
Read MoreHide Full Article
AT&T Inc. (T - Free Report) has yet again proved its unconventional ‘out-of-the-box’ thinking, which helped it evolve from a telecom firm to a leading player in the U.S. communications sector, with a public view of its 5G strategy. As the first carrier in the industry, the company recently unveiled its 5G policy framework that will hinge on three pillars — mobile 5G, fixed wireless and edge computing.
The company aims to address the diverse needs of the business through this holistic approach and better serve the surging consumer base. At the same time, AT&T is developing a robust network to enable fiber-based connectivity and LTE to work in unison with 5G solutions and services, thereby facilitating the radical transformation of business.
Mobile 5G
In order to have a seamless transition among Wi-Fi, LTE and 5G services, AT&T intends to deploy a standards-based nationwide mobile 5G network in early 2020. The company’s 5G service entails utilization of millimeter wave spectrum for deployment in dense pockets while in suburban and rural areas, it intends to deploy 5G on mid- and low-band spectrum holdings. AT&T believes that as the 5G ecosystem evolves, customers can experience significant enhancements in coverage, speeds and devices.
The telco giant has already introduced mobile 5G networks in parts of 12 cities — Houston, Jacksonville, Louisville, New Orleans, San Antonio, Atlanta, Charlotte, Dallas, Indianapolis, Oklahoma City, Raleigh and Waco. The company is further planning to bring mobile 5G in certain areas of seven more cities — Las Vegas, Los Angeles, Nashville, Orlando, San Diego, San Francisco and San Jose — in the first half of 2019.
Fixed Wireless
This strategic pillar aims to bridge the gap between primary and secondary connectivity and lays the foundation for customers to upgrade to 5G services as and when these are available in a particular region. AT&T Wireless Broadband services offer flexible data options to meet specific needs of a business. Building on its leading fiber distribution, the company aims to upgrade its broadband offer with multiple speed tiers up to 50Mbps.
Over the past five years, AT&T has invested around $145 billion in wireless and wireline networks, including capital investments and acquisition of wireless spectrum and operations. Currently, the company’s wireless network covers more than 99% of Americans. Its fiber network is one of the nation’s largest, reportedly connecting more Internet of Things devices compared to any other providers in North America.
Edge Computing
AT&T anticipates gaining a competitive edge over rivals through edge computing services that allows businesses to route application-specific traffic to where they need it and where it’s most effective — whether that’s in the cloud, the network or on their premises. Through its Multi-access Edge Compute (MEC) solution, the company offers the flexibility to better manage the data traffic. The MEC leverages indigenous software-defined network to enable low-latency, high-bandwidth applications for faster access to data processing.
The company expects edge computing solutions to be widely available in autonomous vehicles, drones, robotic production lines and autonomous forklifts in the near future. Utilizing machine learning techniques and more connected devices, this could transform the way data-intensive images are transferred across the industry on real time basis.
Moving Forward
Despite such innovative products and services, the stock has lost 18.3% over the past year compared with the industry’s fall of 3.9%. With a focused roadmap, AT&T appears poised to turn the tables in 2019, which is likely to be a decisive year for it. Although a healthy dividend yield of 6.6% remains an enticing proposition for investors, the company needs to pull up its socks on several counts and stem the losses in case of a volte-face. If the company can significantly reduce its debt burden, plug the subscriber churn, generate solid cash flow and improve top line, it can expect a turnaround in fortunes.
ATN International surpassed earnings estimates thrice in the trailing four quarters, the average positive surprise being 138.1%.
Sprint has a long-term earnings growth expectation of 19.6%. It beat earnings estimates in each of the trailing four quarters, the average surprise being a stellar 320.8%.
United States Cellular Corporation surpassed earnings estimates in each of the trailing four quarters, the average positive surprise being 108.1%.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
Image: Bigstock
AT&T Unveils Industry's First Three-Pronged 5G Strategy
AT&T Inc. (T - Free Report) has yet again proved its unconventional ‘out-of-the-box’ thinking, which helped it evolve from a telecom firm to a leading player in the U.S. communications sector, with a public view of its 5G strategy. As the first carrier in the industry, the company recently unveiled its 5G policy framework that will hinge on three pillars — mobile 5G, fixed wireless and edge computing.
The company aims to address the diverse needs of the business through this holistic approach and better serve the surging consumer base. At the same time, AT&T is developing a robust network to enable fiber-based connectivity and LTE to work in unison with 5G solutions and services, thereby facilitating the radical transformation of business.
Mobile 5G
In order to have a seamless transition among Wi-Fi, LTE and 5G services, AT&T intends to deploy a standards-based nationwide mobile 5G network in early 2020. The company’s 5G service entails utilization of millimeter wave spectrum for deployment in dense pockets while in suburban and rural areas, it intends to deploy 5G on mid- and low-band spectrum holdings. AT&T believes that as the 5G ecosystem evolves, customers can experience significant enhancements in coverage, speeds and devices.
The telco giant has already introduced mobile 5G networks in parts of 12 cities — Houston, Jacksonville, Louisville, New Orleans, San Antonio, Atlanta, Charlotte, Dallas, Indianapolis, Oklahoma City, Raleigh and Waco. The company is further planning to bring mobile 5G in certain areas of seven more cities — Las Vegas, Los Angeles, Nashville, Orlando, San Diego, San Francisco and San Jose — in the first half of 2019.
Fixed Wireless
This strategic pillar aims to bridge the gap between primary and secondary connectivity and lays the foundation for customers to upgrade to 5G services as and when these are available in a particular region. AT&T Wireless Broadband services offer flexible data options to meet specific needs of a business. Building on its leading fiber distribution, the company aims to upgrade its broadband offer with multiple speed tiers up to 50Mbps.
Over the past five years, AT&T has invested around $145 billion in wireless and wireline networks, including capital investments and acquisition of wireless spectrum and operations. Currently, the company’s wireless network covers more than 99% of Americans. Its fiber network is one of the nation’s largest, reportedly connecting more Internet of Things devices compared to any other providers in North America.
Edge Computing
AT&T anticipates gaining a competitive edge over rivals through edge computing services that allows businesses to route application-specific traffic to where they need it and where it’s most effective — whether that’s in the cloud, the network or on their premises. Through its Multi-access Edge Compute (MEC) solution, the company offers the flexibility to better manage the data traffic. The MEC leverages indigenous software-defined network to enable low-latency, high-bandwidth applications for faster access to data processing.
The company expects edge computing solutions to be widely available in autonomous vehicles, drones, robotic production lines and autonomous forklifts in the near future. Utilizing machine learning techniques and more connected devices, this could transform the way data-intensive images are transferred across the industry on real time basis.
Moving Forward
Despite such innovative products and services, the stock has lost 18.3% over the past year compared with the industry’s fall of 3.9%. With a focused roadmap, AT&T appears poised to turn the tables in 2019, which is likely to be a decisive year for it. Although a healthy dividend yield of 6.6% remains an enticing proposition for investors, the company needs to pull up its socks on several counts and stem the losses in case of a volte-face. If the company can significantly reduce its debt burden, plug the subscriber churn, generate solid cash flow and improve top line, it can expect a turnaround in fortunes.
AT&T presently has a Zacks Rank #3 (Hold). Some better-ranked stocks in the industry are ATN International, Inc. (ATNI - Free Report) , Sprint Corporation (S - Free Report) and United States Cellular Corporation (USM - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
ATN International surpassed earnings estimates thrice in the trailing four quarters, the average positive surprise being 138.1%.
Sprint has a long-term earnings growth expectation of 19.6%. It beat earnings estimates in each of the trailing four quarters, the average surprise being a stellar 320.8%.
United States Cellular Corporation surpassed earnings estimates in each of the trailing four quarters, the average positive surprise being 108.1%.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
See the pot trades we're targeting>>