Android and Me » AT&T

Is it no longer convenient to be an AT&T unlimited data user?

Edgar Cervantes — Tue, 07 Feb 2012 19:52:58 +0000

Before AT&T tiered data plans started coming into effect, users were happy to be unlimited data subscribers. Once the changes went into place they would be grandfathered, allowing them to keep their unlimited plan. This was before AT&T started throttling its top 5% of data consumers. Grandfathered customers are now suffering from an interesting effect in the system.

AT&T throttles the top 5% of data consumers in their network, but this is not just an estimate. They literally throttle the top 5%, regardless of where that limit happens to fall, that month. This would mean that if AT&T managed to keep convincing subscribers to use less and less data, the limit would go down, along with the users’ habits. If the top 5% miraculously managed to use only 200 MB a month (or 20 GB), that is where the limit would hit.

The situation is not as critical yet, but “unlimited” data users are certainly experiencing a lower throttling cap. And it seems like tiered data plan subscribers also come into the equation, even though only unlimited users are being throttled.

After going about his business as regular, AT&T user John Cozen was notified that he was being throttled for falling under the 5% top users window. He had only used 2.1 GB of data in that month. After a series of e-mails, AT&T confirmed that this was not a mistake, and the top 5% was being throttled after using just a bit over 2 GB of data.

AT&T’s new smartphone data plans include:

AT&T Data Plus 300MB: $20 for 300MB
AT&T Data Pro 3GB: $30 for 3GB
AT&T Data Pro 5GB: $50 for 5GB, with mobile hotspot / tethering

It might no longer be convenient to be grandfathered into those unlimited data plans (unless you don’t mind the slower speeds). Of course, tiered data plans are not affected. If one pays the equally priced $30 plan, you get 3 GB of data, which is about an extra GB compared to unlimited data subscribers (before being throttled).

The tables have turned around, and unlimited data plans might not be as great as we thought. At least with AT&T. It just might be time for power users to start saying goodbye to their grandfathered plans. They could be getting a better deal with the 3 GB tiered data plan.

Have any of our readers experienced a similar problem? Would you rather leave your grandfathered plan to get that tiered 3 GB plan?

How Samsung’s Super Bowl ad should have been

Dustin Earley — Mon, 06 Feb 2012 22:23:19 +0000

Samsung, have you learned nothing from the past couple years worth of advertising failures? You could have done so much with your Super Bowl ad, but you didn’t. You did nothing but brag about a stylus, and make fun of one of your main competitor’s customers. Samsung blew a monstrous opportunity yesterday to show off why people all over the world love the Galaxy Note.

What they did

The first thirty seconds of Samsung’s Super Bowl ad are dedicated to showing people standing in line complaining. With one of the few product related dialogue lines during that thirty seconds being, “It’s the new Samsung Galaxy Note, It’s got a pen?!”

The next minute is dedicated to an old song from The Darkness, and who knows how many thousands of dollars worth of dancing and stunts. Oh, and some people are using the Note’s camera.

The end of the 90 second commercial shows the Note, with a coming soon sign right next to Best Buy’s logo.

If you had never heard of the Galaxy Note, what would you assume it is? A tablet with a stylus? That has a camera? Are either of those features compelling enough to drive the average consumer to investigate? Or will they be busy talking about how they used to have a Palm Pilot with a stylus?

It looks likes Samsung may have left consumers with more questions than answers. And nothing compelling enough to push them to find out more.

What they should have done

The Galaxy Note doesn’t just feature a stylus. The Note’s S Pen is paired with a Wacom brand digitizer. A brand recognized by millions upon millions of professionals in all sorts of media and art related industries. Samsung really should have shown that off.

They should have talked about how fluid using the S Pen is. And how it’s nothing like the styluses of yesteryear. They should have shown off how it’s pressure sensitive, all the different brush strokes you can use, and the different applications the S Pen works with.

Then, they should have mentioned how the large ultra crisp display is excellent for viewing and editing photos and video. A perfect compliment to the level of detail the S Pen is capable of.

Oh, and about that display. They need to make sure everyone knows about the rigorous testing done to make sure it was just the right size. Perfect for the Samsung exclusive technology built into the Note. Great for reading books and watching movies. Just big enough to give you a roomy tablet-like experience. Yet still small enough to use as a phone. Because you know, the Note is a phone after all.

Samsung could have done a lot with their Super Bowl ad. But they did practically nothing. Maybe next year?

AT&T Galaxy Note now available for pre-order

Taylor Wimberly — Sun, 05 Feb 2012 18:06:47 +0000

As previously announced, AT&T put up the Galaxy Note for pre-order today to coincide with the big Super Bowl ad that Samsung plans to air during the 4th quarter. Those who pre-order now for $299 will receive the device by February 17th, two days before the official in-store date of February 19th.

Customers will be able to choose between two colors, Carbon Blue and Ceramic White. For those that wish to purchase the Galaxy Note off-contract, it will run $749.99. Best Buy also has the Galaxy Note up for pre-order, where they are offering customesr a free flip cover for the device.

For those of you just joining us, highlights of the Galaxy Note include the world’s first 5.3-inch HD Super AMOLED screen (1280×800), dual-core 1.5 GHz Snapdragon S3 processor, 1 GB RAM, the highly advanced input tool called S-Pen, and support for AT&T’s 4G LTE network.

Android fans north of the border up in Canada will be able to pick up Galaxy Note starting February 14th. Carriers to support the device Bell, Rogers, and Telus.

p.s. Don’t forget to enter our Android Bowl Overtime if you haven’t done so yet. Come visit the site after the game is over and you watch Samsung’s ad to see who the winners are.

Samsung teases Super Bowl ad

Taylor Wimberly — Wed, 01 Feb 2012 16:59:26 +0000

Samsung just released a teaser video for their upcoming Super Bowl XLVI ad. This is the company’s first Super Bowl ad, so they decided to go all out with a 90 second spot, one of the longest of the big game. Samsung previously announced that the Bobby Farrelly, known for directing famous comedy films There’s Something About Mary, Dumb and Dumber and Kingpin, would produce the ad and it would run during the 4th quarter.

As you can see from the clip below, the ad will continue Samsung’s The Next Big Thing campaign that pokes fun at Apple fans waiting in line for the iPhone 4S. We already know that Samsung will use the spot to promote the AT&T Galaxy Note, which goes on pre-order February 5th. Based on the comments from our previous article, it looks like people are stoked about the ad but they are still unsure about their feelings for the Galaxy Note.

Make sure to tune in Sunday at 6:30 PM to catch the big game and then come back to let us know what you think. For those of who can’t find the game on a local affiliate, it will also be streamed live on NBC.com. Samsung is also encouraging their fans to visit their Facebook page and vote the add as one of their favorites for the Super Bowl.

Any guesses what happens next?

AT&T Galaxy Note arrives February 19 for $299

Taylor Wimberly — Mon, 30 Jan 2012 15:11:58 +0000

Previously announced at CES, AT&T has now provided a launch date for the Samsung Galaxy Note. Customers who pre-order the Galaxy Note, starting February 5, at att.com/galaxynote will receive the device by February 17. For those who wish to purchase at retail stores, it will be available February 19.

As expected, the AT&T Galaxy Note will retail for $299 with a 2-year agreement and require a minimum monthly data package (starting at $20/mo). The February 5th pre-order date also happens to be on the same day as Super Bowl XLVI, which Samsung has announced they will debut a new commercial. Coincidence?

“The Galaxy Note brings a new level of efficiency to busy customers who would normally rely on multiple devices,” said Jeff Bradley, senior vice president, Devices, AT&T Mobility and Consumer Markets. “This new breed of smartphone helps consumers accomplish more with a single device than ever before. The unique all-in-one experience can simplify daily life while tapping into AT&T’s 4G LTE network to let customers work even faster.”

Highlights of the Galaxy Note include the world’s first 5.3-inch HD Super AMOLED screen (1280×800), dual-core 1.5 GHz Snapdragon S3 processor, 1 GB RAM, the highly advanced input tool called S-Pen, and support for AT&T’s 4G LTE network.

The Galaxy Note has already surpassed 1 million units sold overseas and we recently got to spend some hands-on time with the device at CES. If you are on AT&T, let us know if you are considering picking up this device when it launches.

Fast charging, stain resisting Sony Xperia S hits the FCC with support for AT&T 3G

Nick Gray — Sat, 28 Jan 2012 16:18:00 +0000

There’s no denying that the Sony Xperia S was one of our favorite Android phones at CES. The handset’s unique design certainly makes the phone stand out, but apparently Sony wasn’t ready to reveal all the handset’s secrets at this month’s trade show. According to a recent post on the company’s Facebook page, the Xperia S features an “anti-stain shell,” something we’ve already seen on the recently released Droid RAZR from Motorola. If that wasn’t enough, a rumor is floating around that suggests the Xperia S will have a fast charging feature which will allow users to get one hour of handset use with only 10 minutes of charging.

We’ve known that the Sony Xperia Ion would be headed to AT&T this spring, but it looks like the Xperia S may soon make an appearance in North America as well. The handset recently showed up at the FCC with support for AT&T’s 3G radio bands, Bluetooth 2.0, NFC, WiFi b/g/n, GPS and ANT+. While we’re excited to see support for AT&T’s 3G radio bands, we have a feeling our neighbors to the north will be seeing the Xperia S on Rogers long before the handset is spotted in an AT&T store.

Are any of you AT&T customers thinking about paying full price to import the Sony Xperia S, or will you simply wait to see what Sony and other manufacturers unveil at Mobile World Congress and CTIA this spring?

AT&T’s Q4 results are in; record number of smartphone sales

Anthony Domanico — Thu, 26 Jan 2012 13:25:33 +0000

AT&T has released their 4th quarter 2011 financial results this morning. Like Verizon, AT&T’s net income for the quarter was in the tank, with a quarterly net loss of $6.7 billion dollars, due in large part to one-time expenses such as the break up fee paid to Deutsche Telekom.

This loss comes despite record performance in the smartphone market, with smartphone sales at Ma Bell totaling 9.4 million. More bad news for us Android users, iPhone sales made up 7.6 million of the 9.4 million total devices sold, or 81% of all smartphones sold. That puts sales of Android phones at a maximum of 1.8 million, depending on how many Blackberry and Windows Phone devices were sold last quarter.

AT&T reported record revenues for the 4th quarter 2011, raking in $32.5 billion in the quarter, a 3.6% ($1.1 B) increase from Q4 2010. A full 76% of this revenue growth was attributed to AT&T’s wireless business, as AT&T’s wireline market continues to struggle.

A whopping 82% of AT&T’s postpaid sales were smartphone sales, suggesting more and more people wanting to ditch feature phones for smartphones on AT&T’s network. Sadly, it appears a majority of these customers are choosing the iPhone over an Android device, though we look to next quarter’s performance to see if this trend will continue or if it’s largely attributable to the new-ness of the iPhone 4S.

AT&T predicts a strong 2012, with a plethora of new Android and Windows Phone devices set to go on sale in the coming months. We’ll stay tuned in April to see how they did in the first quarter of this year.

Show Press Release

Best-Ever Mobile Broadband Sales and Strong Cash Flows Highlight AT&T’s Fourth-Quarter Results; Stock Buyback Begins on Previous 300 Million Share Authorization

2012 Outlook: Solid Revenue, Margins and Earnings Growth with Strong Free Cash Flow

$(1.12) diluted EPS in fourth quarter compared to $0.18 diluted EPS in the year-ago period. Excluding significant items for both quarters, EPS of $0.42 compared to $0.55 in the year-ago quarter, driven by the company’s best-ever quarter for smartphone activations — up nearly 60 percent year over year

Consolidated revenues of $32.5 billion, up $1.1 billion, or 3.6 percent, versus the year-earlier period

In 2011, AT&T’s growth engines — wireless, wireline data and managed services — represented 76 percent of total revenues and grew 7.5 percent versus 2010, led in the fourth quarter by:

10.0 percent growth in wireless revenues

19.4 percent growth in wireless data revenues, up $956 million versus the year-earlier quarter

16.4 percent growth in strategic business services revenues

43.7 percent growth in consumer U-verse revenues

9.4 million smartphone sales, best-ever quarter and 50 percent more than previous quarterly record and nearly double 3Q11 sales; 82 percent of postpaid sales were smartphones

717,000 wireless postpaid net adds, the largest increase in five quarters; 2.5 million increase in total net wireless subscribers, with gains in every customer category

Best-ever quarter for Android and Apple smartphones, including 7.6 million iPhone activations

571,000 branded computing device (tablets, aircards, etc.) sales, best-ever quarter to reach 5.1 million total subscribers; up almost 70 percent from a year ago

12th consecutive quarter with a year-over-year increase in postpaid wireless subscriber ARPU (average monthly revenues per subscriber), up 1.4 percent to $63.76 — more than $6 higher than nearest competitor’s ARPU

Second consecutive quarter of sequential growth in wireline business revenues

Sixth consecutive quarter of year-over-year growth in wireline consumer revenues, driven by AT&T U-verse® services

208,000 net gain in AT&T U-verse TV subscribers to reach 3.8 million in service, with continued high broadband and voice attach rates

Note: AT&T’s fourth-quarter earnings conference call will be broadcast live via the Internet at 10 a.m. ET on Thursday, January 26, 2012, at www.att.com/investor.relations.

Consolidated Statements of Income

Statements of Segment Income

Consolidated Balance Sheets

Consolidated Statements of Cash Flows

Supplementary Operating and Financial Data

Reconciliation of EBITDA

Reconciliation of Free Cash Flow

Reconciliation of Annualized Net-Debt-to-EBITDA Ratio

Reconciliation of Adjusted Operating Income Margin

Adjusted Diluted EPS

Non-GAAP Discussions

AT&T Inc. (NYSE:T) today reported fourth-quarter results highlighted by record sales, strong wireless network performance and improved wireline revenue trends.

“We had a tremendous year in terms of execution, and we have excellent momentum across our growth platforms,” said Randall Stephenson, AT&T chairman and chief executive officer.”This was a blowout quarter for sales. Our network performance is at a high level on voice quality and best-in-class mobile download speeds. Sales continue to be strong and business revenue trends are on a good track.

“Looking ahead, we start 2012 with the best visibility we’ve had in some time, and we’re well positioned to deliver solid results — including continued revenue growth with margin expansion, solid earnings per share growth and strong cash flow,” Stephenson said.”In short order, we will begin share repurchases to deliver significant value to our owners.”

Fourth-Quarter Financial Results

For the quarter ended December 31, 2011, AT&T’s consolidated revenues totaled $32.5 billion, up $1.1 billion, or 3.6 percent, versus the year-earlier quarter.

Compared with the fourth quarter of 2010, operating expenses were $41.5 billion versus $29.3 billion; operating loss was $9.0 billion, compared to operating income of $2.1 billion; and AT&T’s operating income margin was (27.7) percent, compared to 6.7 percent. Excluding fourth-quarter significant items, operating expenses were $28.1 billion versus $25.8 billion; operating income was $4.4 billion, compared to $5.6 billion; and operating income margin was 13.5 percent, compared to 17.7 percent.

Fourth-quarter 2011 net income attributable to AT&T totaled $(6.7) billion, or $(1.12) per diluted share. Excluding significant non-cash charges of $0.65 from the actuarial loss on benefit plans and $0.48 for directory asset impairments, along with a one-time charge of $0.44 for termination of the T-Mobile USA acquisition and a one-time gain of $0.03 from a tax settlement, adjusted earnings per share was $0.42.

(The actuarial loss on benefit plans was driven by a reduction in the discount rate from 5.8 percent to 5.3 percent. While our investment returns were better than the overall market, they were less than expectations; this was largely offset by better-than-expected force and medical cost management. The directory asset impairment resulted from an annual review of intangible assets compared to fair value.)

These results compare with reported net income attributable to AT&T of $1.1 billion, or $0.18 per diluted share, in the fourth quarter of 2010. Excluding significant items, earnings per share for the fourth quarter of 2010 was $0.55 per diluted share.

Fourth-quarter 2011 cash from operating activities totaled $7.5 billion, and capital expenditures totaled $5.5 billion. Also included in the fourth quarter, the company made a $1.0 billion contribution to the company’s pension fund. No additional funding is required in 2012. Free cash flow — cash from operating activities minus capital expenditures — totaled $2.0 billion.

Full-Year Results

For the full year 2011, compared with 2010 results, AT&T’s consolidated revenues totaled $126.7 billion versus $124.3 billion, up 2.0 percent; operating expenses were $117.5 billion, compared with $104.7 billion; net income attributable to AT&T was $3.9 billion versus $19.9 billion; and earnings per diluted share was $0.66 compared with $3.35. Excluding significant items, earnings per share totaled $2.20, compared with $2.29.

Compared with 2010 results, AT&T’s full-year cash from operating activities totaled $34.6 billion, down from $35.0 billion. Capital expenditures, including capitalized interest, totaled $20.3 billion versus $20.3 billion, including a 6.4 percent increase in wireless-related capital investment versus 2010, as AT&T aggressively deployed next-generation mobile broadband networks. Free cash flow totaled $14.4 billion, compared with $14.7 billion.

Outlook

AT&T is well positioned to deliver solid revenue and earnings growth with improving margins while returning substantial value to shareowners. In 2012, AT&T expects continued consolidated revenue growth, including postpaid wireless ARPU growth around 2 percent for the year. The company also expects to expand consolidated and wireless margins while keeping wireline margins stable. Achieving these targets will lead to mid-single-digit or better earnings growth with an opportunity to accelerate earnings growth beyond 2012. Outlook excludes any significant items. Importantly, little economic lift is assumed with these expectations.

AT&T expects capital expenditures to be about $20 billion, stable with 2011, as increases in wireless spending offset declines in wireline capital expenditures. The company also expects strong free cash flow, with full-year free cash flow in the $15 to $16 billion range, and plans to begin execution of its existing 300 million share repurchase authorization immediately.

WIRELESS OPERATIONAL HIGHLIGHTS

Record-setting mobile broadband sales and the company’s best postpaid subscriber growth in five quarters drove double-digit wireless revenue growth. AT&T continues to lead the industry in smartphone penetration, mobile broadband sales and postpaid ARPU. Highlights included:

Best Postpaid Growth in Five Quarters. AT&T posted a net increase in total wireless subscribers of 2.5 million in the fourth quarter to reach 103.2 million in service. This included gains in every customer category. Subscriber additions for the quarter include postpaid net adds of 717,000, the best gain in five quarters. Prepaid net adds were 159,000, connected device net adds were 1,029,000 and reseller net adds were 592,000. Fourth-quarter net adds reflect accelerated adoption of smartphones, including the October launch of iPhone 4S, increases in prepaid and reseller subscribers and sales of tablets and connected devices such as automobile monitoring systems, security systems and a host of other emerging products.

Record Quarter for Smartphone Sales. AT&T delivered its best-ever smartphone sales quarter — up nearly 60 percent from the year-ago period. (Smartphones are devices with voice and data capabilities and an advanced operating system to better manage data and Internet access.) In the fourth quarter, the company set a new record with 9.4 million smartphones sold, nearly double the number sold in the third quarter and 50 percent more than the previous quarterly record. Fourth-quarter smartphone sales represented more than 80 percent of postpaid device sales. Both iPhone and Android device sales set records. During the quarter, more than 7.6 million iPhones were activated, the majority of which were iPhone 4S, which went on sale Oct. 14, and more than twice as many Android smartphones were sold versus the fourth quarter a year ago. iPhone sales were helped by a superior customer experience, with AT&T delivering download speeds up to three-times faster than on other U.S. carriers’ networks.

At the end of the quarter, 56.8 percent of AT&T’s 69.3 million postpaid subscribers had smartphones, up from 42.7 percent a year earlier and 32.8 percent two years ago. The average ARPU for smartphones on AT&T’s network is 1.9 times that of the company’s non-smartphone devices. About 87 percent of smartphone subscribers are on FamilyTalk® or business plans. Churn levels for these subscribers are significantly lower than for other postpaid subscribers.

Best-Ever Quarter for Branded Computing Device Sales. AT&T had its best sales quarter ever for branded computing subscribers, a new growth area for the company that includes tablets, aircards, mobile devices, tethering plans and other data-only devices. AT&T added 571,000 of these devices to reach 5.1 million, an almost 70 percent increase in total subscribers from a year ago. Most of those new subscribers were tablets, with 311,000 added in the quarter, more than half of which were postpaid.

Double-Digit Growth for Wireless Revenues. Total wireless revenues, which include equipment sales, were up 10.0 percent year over year to $16.7 billion. Wireless service revenues increased 4.0 percent, to $14.3 billion, in the fourth quarter.

Wireless Data Revenues Increase 19.4 Percent. Wireless data revenues — driven by Internet access, access to applications, messaging and related services — increased by $956 million, or 19.4 percent, from the year-earlier quarter to $5.9 billion. AT&T’s postpaid wireless subscribers on monthly data plans increased by 16.4 percent over the past year. The number of subscribers on tiered data plans also continues to increase. About 22 million, or 56 percent, of all smartphone subscribers are on tiered data plans, and about 70 percent have chosen the higher-tier plans.

Industry-Leading Postpaid ARPU Continues Growth. Driven by strong data growth, postpaid subscriber ARPU increased 1.4 percent versus the year-earlier quarter to $63.76. This marked the 12th consecutive quarter AT&T has posted a year-over-year increase in postpaid ARPU. AT&T continues to lead the industry with postpaid subscriber ARPU about $6 higher than the nearest competitor. Postpaid data ARPU reached $26.01, up 14.9 percent versus the year-earlier quarter.

Postpaid Churn Up Only Slightly. Despite record smartphone sales and the first holiday sales period since the loss of AT&T’s iPhone exclusivity, postpaid churn was up only slightly at 1.21 percent, compared to 1.15 percent in both the year-ago fourth quarter and in the third quarter of 2011. Total churn was up slightly at 1.39 percent versus 1.32 percent in the fourth quarter of 2010 and 1.28 percent in the third quarter of 2011.

Wireless Margins Reflect Record Sales. Fourth-quarter wireless margins reflect record-setting smartphone sales and customer upgrade levels. This was offset in part by improved operating efficiencies and further revenue gains from the company’s growing base of high-quality smartphone subscribers.

AT&T’s fourth-quarter wireless operating income margin was 15.2 percent versus 22.9 percent in the year-earlier quarter, and AT&T’s wireless EBITDA service margin was 28.7 percent, compared with 37.6 percent in the fourth quarter of 2010. (EBITDA service margin is earnings before interest, taxes, depreciation and amortization, divided by total service revenues.) Fourth-quarter wireless operating expenses totaled $14.2 billion, up 20.9 percent versus the year-earlier quarter, and wireless operating income was $2.5 billion, down 27.0 percent year over year.

WIRELINE OPERATIONAL HIGHLIGHTS

AT&T’s fourth-quarter wireline results were highlighted by the second consecutive quarter of sequential wireline business revenue growth, a 44 percent increase in U-verse revenues and solid cost management:

Sequential Wireline Business Revenue Growth Continues. Total business revenues grew sequentially for the second consecutive quarter. Revenues were $9.3 billion, down 1.4 percent versus the year-earlier quarter but a slight increase over the third quarter of 2011. The year-over-year decline reflects economic conditions and weakness in voice and legacy data products somewhat offset by growth in IP data. Business service revenues, which exclude CPE, declined 1.2 percent year over year, compared to a year-over-year decline of 4.3 percent in the year-ago quarter and were essentially flat sequentially, despite fewer business days in the fourth quarter.

Robust Strategic Business Services Revenues. Revenues from the new-generation capabilities that lead AT&T’s most advanced business solutions — including Ethernet, VPNs, hosting, IP conferencing and — grew 16.4 percent versus the year-earlier quarter, continuing strong trends in this area. This now represents a nearly $6 billion annualized revenue stream.

VPN Growth Drives Business IP Revenues. Total business IP data revenues grew 9.2 percent versus the year-earlier fourth quarter, led by growth in VPN revenues. IP-based solutions allow customers to easily add managed services such as network security, cloud services and IP conferencing on top of their infrastructures. Total business data revenues grew 1.3 percent year over year.

Wireline Consumer Revenues Continue Growth. Driven by strength in IP data services, revenues from residential customers totaled $5.3 billion, an increase of 0.5 percent versus the fourth quarter a year ago. The fourth quarter marked the sixth consecutive quarter of year-over-year growth.

208,000 U-verse Net Adds. AT&T U-verse TV added 208,000 subscribers to reach 3.8 million in service. As U-verse scales, its margins improve, contributing to profitability. In the fourth quarter, the AT&T U-verse High Speed Internet attach rate was 90 percent and about half of new subscribers took AT&T U-verse Voice. About three-fourths of AT&T U-verse TV subscribers have a triple- or quad-play option from AT&T. ARPU for U-verse triple-play customers was almost $170, up 2.5 percent year over year.

AT&T’s U-verse deployment has reached its goal of passing 30 million living units. Companywide penetration of eligible living units continues to grow and was at 15.9 percent in the fourth quarter, and 25.0 percent across areas marketed to for 36 months or more. AT&T’s total video subscribers, which combine the company’s U-verse and bundled satellite customers, reached 5.6 million at the end of the quarter, representing 23.9 percent of households served.

U-verse Broadband Continues Strong Growth. AT&T U-verse High Speed Internet delivered a fourth-quarter net gain of 587,000 subscribers to reach a total of 5.2 million, helping offset losses from DSL. Overall, AT&T lost 49,000 wireline broadband connections. About 74 percent of consumers have a broadband plan delivering speeds of 3 Mbps or higher versus 65 percent in the year-ago quarter.

U-verse Drives Consumer Revenue Transformation. U-verse continues to drive a transformation in wireline consumer, reflected by the fact that consumer IP revenues now represent 53.2 percent of wireline consumer revenues, up from 45.0 percent in the year-earlier quarter. Increased AT&T U-verse penetration and a significant number of subscribers on triple- or quad-play options drove 18.7 percent year-over-year growth in IP revenues from residential customers (broadband, U-verse TV and U-verse Voice) and 4.3 percent sequential growth. U-verse revenues grew 43.7 percent compared with the year-ago fourth quarter and were up 8.6 percent versus the third quarter of 2011.

Growth in Revenues Per Household Continues. Wireline revenues per household served increased 7.0 percent versus the year-earlier fourth quarter and were up 2.3 percent sequentially (average revenues per household is total wireline consumer revenues divided by the average monthly households in service), driven by AT&T U-verse services. This marked AT&T’s 16th consecutive quarter with year-over-year growth in wireline consumer revenues per household as U-verse scales and represents a larger portion of this category.

Consumer Connection Trends. In the fourth quarter, AT&T posted a decline in total consumer revenue connections primarily due to expected declines in traditional voice access lines, consistent with broader industry trends and somewhat offset by increases in U-verse TV and VoIP (Voice over Internet Protocol) connections. AT&T U-verse Voice connections increased by 136,000 in the quarter and 598,000 over the past four quarters. Total consumer revenue connections at the end of the fourth quarter were 41.3 million, compared with 43.4 million at the end of the fourth quarter of 2010 and 41.9 million at the end of the third quarter of 2011.

Wireline Revenues Down Slightly. Total fourth-quarter wireline revenues were $14.9 billion, down 1.4 percent versus the year-earlier quarter and down slightly sequentially. Fourth-quarter wireline operating expenses were $13.1 billion, down 0.2 percent versus the fourth quarter of 2010 and down 0.1 percent sequentially. Wireline operating income totaled $1.8 billion, down from $2.0 billion in the fourth quarter of 2010 and down versus the third quarter of 2011. AT&T’s fourth-quarter wireline operating income margin was 11.9 percent, compared to 13.0 percent in the year-earlier quarter and down slightly from 12.1 percent in the third quarter of 2011. Improved consumer and business IP data revenue trends and execution of cost initiatives helped to partially offset declines in voice revenues.

AT&T’s rumored Q1 roadmap includes Galaxy Note, Skyrocket II HD, Sony Ion, more

Taylor Wimberly — Wed, 25 Jan 2012 20:13:25 +0000

AT&T announced six new Android devices earlier this month at their developers conference during CES, and now we are learning more details about specific release dates. Jonathan Geller of BGR is reporting that AT&T will launch at least seven Android devices in Q1 including the Samsung Galaxy Note, Samsung Rugby Smart, AT&T Fusion, Samsung Galaxy S II Skyrocket HD, Samsung Exhilarate, Sony Xperia Ion and Sony Crystal.

At the top of our wishlist is the Samsung Galaxy Note, which should launch February 18 for $299.99. This device has already sold over 1 million units overseas, and it’s one of the most anticipated releases for the first half of this year. Its 5.3-inch HD Super AMOLED display and unique S-Pen make it a compelling device for those who want some of the functionality of a tablet, but in a smaller package that can still fit in a pocket.

For those who think a 5.3-inch display might be too large, we have the Sony Xperia Ion. This high-end smartphone features a 4.65-inch 1280×720 HD Reality display, 1.5 GHz dual-core processor, 12MP Exmor-R and support for AT&T’s 4G LTE network. We originally thought the Ion would arrive in Q2, but Geller now says we can expect it in the latter half of Q1.

On the low-end smartphone side we have the Samsung Rugby Smart and the AT&T Fusion. Not many details are available about these phones, but both will launch on February 18 for $99.99 and $124.99, respectively. The Samsung Exhilarate will also launch in Q1, a $49 LTE phone with a 4-inch Super AMOLED display.

Also from Samsung, we have the Galaxy S II Skyrocket HD. This is AT&T’s 3rd Galaxy S II phone with only a minor tweak from the original Skyrocket – a 4.65-inch HD Super AMOLED display.

Finally we have the Sony Crystal. Not much is known about this tablet, but BGR claims it will support AT&T’s HSPA+ network and retail for $409.99.

Overall, it looks like a solid lineup for AT&T customers to choose from in the next couple months. My top pick would likely be the Samsung Galaxy Note, but I believe the Sony Ion will also be an excellent choice.

If you are an AT&T customer, which device are you looking forward to the most?

AT&T to change data plans; more bang for a few more bucks

Edgar Cervantes — Thu, 19 Jan 2012 00:48:18 +0000

Planning to get a new smartphone from AT&T soon? Maybe that shiny Galaxy Note. You might want to take a look at this, if so. AT&T is getting ready to roll out its new data plans starting January 22. These phone and tablet plans are not bad, as they have a bit of a higher data cap. They also cost $5 more, though. The deets:

Smartphone Plans

AT&T Data Plus 300MB: $20 for 300MB
AT&T Data Pro 3GB: $30 for 3GB
AT&T Data Pro 5GB: $50 for 5GB, with mobile hotspot / tethering

Tablet Plans

AT&T DataConnect 3GB: $30 for 3GB
AT&T DataConnect 5GB: $50 for 5GB

Those who do reach their data cap have the option to purchase more data. Data pro 3GB/5GB subscribers will be able to pay $10 per extra GB, while Data Plus 300 MB users will have to pay $20 for only another 300 MB.

AT&T goes on to mention that the $14.99 for 250 MB plan for tablets will continue to be available. Current customers will also be able to keep their current rate plan in tact or have the option to upgrade to one of the new ones if so they choose.

These are good new rate plans for the data-hungry, but the extra $5 might upset a few of the light-users. Either way, the new plans roll out starting January 22, so be sure to make your choices soon. Hit the press release for more details, and let us know how you feel. Are you guys sticking with your current plans or updating to a new one?

Show Press Release

AT&T LAUNCHES NEW DATA PLANS

Customers Get More Data, More Value

DALLAS, JANUARY 18, 2012 – AT&T today announced new data plans for smartphone and tablet customers that will launch this Sunday, January 22. The plans give customers more data and value.

The new smartphone plans include:

· AT&T Data Plus 300MB: $20 for 300MB

· AT&T Data Pro 3GB: $30 for 3GB

· AT&T Data Pro 5GB: $50 for 5GB, with mobile hotspot / tethering

Smartphone customers needing additional data can pay $10 per additional gigabyte on the AT&T Data Pro 3GB and Data Pro 5GB plans; AT&T Data Plus users will receive an extra 300MB for $20.

The new tablet plans* include:

· AT&T DataConnect 3GB: $30 for 3GB

· AT&T DataConnect 5GB: $50 for 5GB

Existing smartphone and tablet customers will have the choice of keeping their current plans or choosing one of these new plans, and the current $14.99 for 250MB plan for tablet customers will remain available.

To help customers determine which data plan best matches their needs, AT&T has helpful tools at www.att.com/dataplans – including a data calculator where customers can estimate usage for their typical data activity. Once smartphone and tablet customers are on a plan, AT&T keeps them informed of their usage levels by sending usage alerts as they consume data within their plan. For example, a smartphone customer with AT&T DataPlus 300MB will receive a text message when they consume 65 percent of their data bucket, plus two additional alerts as they approach the 300MB provided with their plan.

“Customers are using more data than ever before,” said David Christopher, chief marketing officer, AT&T Mobility and Consumer Markets. “Our new plans are driven by this increasing demand in a highly competitive environment, and continue to deliver a great value to customers, especially as we continue our 4G LTE deployment.”

Customers are encouraged to keep their device’s Wi-Fi turned on because data usage over Wi-Fi does not count against a customer’s monthly data plan. As an added value, AT&T smartphone and tablet customers have access at no additional charge to AT&T’s 29,000 Wi-Fi hotspots nationwide – the nation’s largest Wi-Fi network.** Customers can get more information at www.att.com/wifiaccess.

Hands-on the AT&T Samsung Galaxy Note

Nick Gray — Tue, 10 Jan 2012 12:00:14 +0000

We finally got to spend some quality time with the new Samsung Galaxy Note, which is heading to AT&T this Spring. If you’ve been following the Galaxy Note news since Samsung first announced the European model a few months back, you’re probably pretty familiar with the phone’s 1.5GHz dual-core processor, 5.3-inch Super AMOLED HD display and S Pen integration. To many, the Samsung Galaxy Note may sound just a little over the top, but it’s hard not to like the device once you’ve actually held it in your hand.

Naturally, the main attraction for the Note is the phone’s massive 5.3-inch 1280×800 Super AMOLED display, which dominates the entire front of the device. While the screen colors and brightness match those of the Galaxy S II, the clarity is like nothing we have seen before on a Samsung phone. Due to the higher resolution display, Samsung has chosen to give the Note a 5×5 application grid as opposed to the standard 4×4 grid that we’ve been accustomed to on Android phones since the launch of the original T-Mobile G1.

The Note is a lot more than a large screen. As the name implies, the device has been engineered to take notes with a capacitive stylus called the Samsung S Pen. Users can use the S Pen to jot down notes, color, capture screen shots and even crop select portions of those screen shots to edit or share with their contacts. Fortunately, users wont have to worry about losing the S Pen since it can be safely stored inside the body of the Galaxy Note.

We’re still waiting for AT&T to announce the price and release date for the Samsung Galaxy Note, but we suspect you’ll have to save quite a bit more than $200 if you’re planning to get your hands on this device. Is it just me, or does a phone with a 5.3-inch screen feel like it could be a natural successor to the phone you’re currently using?