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AT&T edges nearer to 40 million fiber locations as revenue climbs 2.3% during Q2

AT&T has edged closer to reaching 40 million fiber locations as the carrier proclaimed that this will be the company’s biggest year for fiber expansion.. The carrier reported that it has reached 38.6 million fiber locations across the US during the company’s Q2 earnings report today (July 22).. – Getty Images.

While the company has ambitions to reach 60 million locations by the end of 2030, the carrier has sought to reach the 40 million milestone this year.. “This will be our largest year ever for fiber expansion, with plans to reach eight million new locations, including over four million locations acquired from Lumen,” said John Stankey, CEO, AT&T, during the company’s earnings call.. “As I’ve said in the past, where we have fiber, we win, with fiber and wireless, I expect that as we expand our funnel of new fiber locations, we’ll drive strong growth in our converged customer base and financial results.”. He added that AT&T’s competition is struggling to match the telco’s fiber buildout, in particular in dense urban and suburban areas..

In total, the carrier added more than one million consumer and business locations reached with its fiber network.. The growth of its fiber network has also translated to the company’s financial sheet, with AT&T reporting that advanced home Internet service revenues grew by more than 27 percent Year-on-Year.

This was mainly driven by improved fiber net adds, said Pascal Desroches, CFO, AT&T.. A significant reason why the carrier is pushing for its largest fiber expansion year yet is due to its $5.75 billion acquisition of Lumen’s fiber business, which completed earlier this year.

That deal added four million customer locations across 11 states.. Total revenue for the quarter reached $31.6 billion, up 2.3 percent YoY, which AT&T noted was largely driven by its fiber business. Meanwhile, operating income was $7bn, up from $6.5bn during the same period last year..

The quarter saw AT&T add 646,000 total consumer and business advanced connectivity Internet net adds, which included 367,000 fiber and 279,000 fixed wireless, while the carrier added 432,000 postpaid phone subscribers.. 23 Oct 2025. AT&T’s copper headache.

Despite AT&T’s ambitions to futureproof its full fiber network, the carrier still offers legacy copper services.. Last week, the carrier suffered a setback in its efforts to stop providing copper services in California as its role as Carrier of Last Resort (COLR) in the state after filing a lawsuit against the state that would allow the carrier to discontinue the services..

However, a federal ruling last week means that AT&T must still offer basic telephone service to any customer who requests it within its service territory.. In May, AT&T noted that its copper service only serves around three percent of households in California, as the carrier pledged to invest $19 billion in its network across the state..

Despite this, the California Public Utilities Commission (CPUC) has the authority to ensure AT&T continues to provide copper services in the state, even if on a smaller scale, and is adamant that AT&T must continue to do so.. AT&T’s subsequent push to focus on fiber has seen the company ramp up its copper retirement plans.

During the quarter, the carrier noted that legacy services revenues dropped 25.9 percent year over year, primarily due to lower demand for services as the telco continues to decommission its copper-based network.. Despite the copper headache in California, Stankey is bullish that AT&T will be able to overcome its battle in the state..

He welcomed the Federal Communications Commission’s support in the case, after the watchdog approved AT&T’s plans to retire its copper network in the state.. “We appreciate the leadership of FCC Chairman Carr and the commission for recognizing the urgency to modernize the nation’s communications infrastructure and upgrade customers to more reliable service,” said Stankey.. “Last month, the FCC gave us permission to discontinue legacy copper voice service at about 60 percent of our wire centers in California, so we can upgrade our customers to AT&T phone advanced, fiber, and wireless.”. Indeed, AT&T plans to retire its copper network by 2029, and has previously signed a deal to sell more than 70 of its copper network Central Offices in an $850 million sale-leaseback deal.. “Looking more broadly at our efforts to discontinue copper network services and operations nationwide, we continue to make great progress on our exit plans,” added Stankey..

He noted that AT&T has now gained approval to discontinue legacy services in more than 30 percent of the company’s wire centers, which will be effective by late 2026.. “By the end of the year, we expect a couple hundred wire centers to have zero customers. This is an important step, providing a path to unlock access to descaling parts of our cost structure and to further streamline our operations,” said Stankey.. “Nearly two years ago, we told you we would establish a path to effect an orderly turndown of legacy copper services by the end of the decade.

In my view, we’ve now reached the tipping point, and that goal is firmly in sight.”. For now at least, AT&T is obliged to continue its role as COLR in California.. More in Carrier Networks.

05 Mar 2026. 18 Mar 2026. 02 Jul 2026.

More in Investment / M&A / Financing. 18 May 2026. 02 Mar 2026

 

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