AT&T Mobility still riding high with Apple iPhone; solid quarterly profit expected

“Despite a sharp U.S. recession and further erosion in AT&T Inc.’s traditional telephone business, the company is expected to report strong growth in wireless customers and stable earnings when quarterly results are released next week,” Jeffry Bartash reports for MarketWatch. AT&T Mobility “has benefited greatly from its exclusive rights to sell the Apple iPhone. AT&T reports results Thursday morning.”

“In the third quarter, AT&T is expected to add 1.5 million to 1.7 million net wireless customers, driven by fresh demand for the latest version of an improved iPhone released in late June,” Bartash reports. “Last quarter, AT&T’s mobile business generated $13.2 billion in revenue and ended with 79.6 million wireless customers. AT&T is the second largest mobile supplier after Verizon Wireless… AT&T sees plenty of opportunity for long-term growth in Internet-related services. The company has been spending heavily, for instance, to upgrade its wireless network to handle rising Internet traffic generated by the Web-capable iPhone. AT&T has more than 10 million iPhone users.”

“A bigger concern [than losses in the traditional landline telephone business] are potentially new and costly regulations that could emerge from the Obama administration and a Congress controlled by Democrats,” Bartash reports. “Lawmakers and regulators are looking closely at competition in the telecom sector and could unveil new rules soon that limit AT&T’s ability to restrict which services are allowed to run over its wireless and landline networks. ‘Depending on the specifics, any new legislation would likely be a negative for AT&T,’ analyst Greg MacDonald of National Bank Financial wrote in a report.”

Full article here.

[Thanks to MacDailyNews Reader “Matti M” for the heads up.]

10 Comments

  1. “new rules … that limit AT&T;’s ability to restrict which services are allowed to run over its wireless and landline networks” should read “new rules that prevent AT&T;from restricting what its customers can run over its network”

  2. Actually, these new rules, IF IMPLEMENTED (we still don’t know if they’ll really do it; after all, these are only government people, and governments almost ALWAYS do what big business wants them to do, whether republicans OR democrats) will not only affect AT&T; they will affect all carriers, more-or-less equally. Competitively, not much difference.

    And X, Saddam Hussein has been dead for years now. I’m not sure how he would piss in any canteens today.

  3. Everyday at the opening and closing of the stock market, all AT&T;employees should get down on their knees facing Cupertino, bow, and say a prayer to Steve Jobs.

  4. So ATandT makes $13Billion a quarter, that’s ~$52Billion a year(yes I know all quarters are not the same, but it’s close enough for my point.) and ATandT spends ~$20Billion in upgrades per year, that’s nearly a 45-50% reinvestment into thier infastructure.

    That’s good for all of us who are locked into ATandT not by AT&T;nor Apple, but because Verizon turned the iPhone down first.

  5. My online psychiatrist tells me that most of the vitriol coming from many “liberal haters, neoconservatives, Obama haters, douchebags, et al” are simply projecting. So I looked it up on Google and I think I understand now.

    Definition
    Projection is a defence mechanism in which an internal desire/thought/feeling is displaced and located outside the subject, in another subject.
    In a general sense, the term projection denotes an operation that consists in the displacement of something from one space to another, or from one part of a single space to another.
    Cutting off what the superego perceives as “bad” aspects of oneself (e.g. weakness or homosexual desire) and projecting them onto someone else “over there” where they can be condemned, punished, etc..

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.