AT&T announced a new initiative designed to help its customers dramatically reduce greenhouse gas emissions. The company still has work to do on internal ‘greenification.’
Verizon is taking a different approach, issuing its second and third $1 billion green bonds recently to fund a host of renewable energy contracts.
AT&T arguably took a leadership position among U.S. telecommunication operators, announcing August 31 that it will drive a reduction of a gigaton of greenhouse gas (GHG) emissions —1 billion metric tons — by 2035, in conjunction with a consortium of partners that includes Microsoft, Equinix, Duke Energy, and a number of research universities. A gigaton is equal to roughly 15% of total U.S. greenhouse gas emissions and 3% of global emissions based on 2020 estimates. Continue reading “AT&T and Verizon Showcase Two Approaches to Environmental Sustainability”→
Through midyear, U.S. network operators have performed as expected on capital expenditures, posting a modest increase in spend over last year’s COVID-dampened investment. T-Mobile USA stands out with a large year-to-year increase as it embarks on aggressive 5G buildout plans.
H2 2021 spending appears likely to also be up slightly compared to 2020; however, as evidenced by revised AT&T guidance, looming supply chain challenges could stymy some plans, particularly in fiber deployment.
A GlobalData analysis of U.S. operator financial results based on mid-year 2021 earnings releases shows capital expenditures (CapEx) spending increased just over 7% compared to COVID-impacted H1 2020. In total, the nine publicly reported carriers spent $38.5 billion in CapEx. GlobalData estimates that the big three operators that account for nearly 70% of total U.S. CapEx – AT&T, Verizon, and T-Mobile USA – spent just over $26 billion, up 6.1% from H1 2020. Continue reading “H1 2021 CapEx Up Modestly for U.S. Operators, but Supply Chain Challenges Loom”→
Samsung has traditionally found itself outside of the sphere of influence with European operators, but a combination of emerging vRAN and O-RAN technologies and geopolitics is creating a new opportunity.
The company’s O-RAN deal with Vodafone UK, announced in June, is small in size but could represent the beginning of a long tail of opportunity.
Subsea cable deployments have represented a small but significant share of revenue for many vendors. However, that is changing as demand for broadband capacity continues to increase.
These vendors are also finding that subsea deployments serve not only as a source of growth, but as an ideal venue to showcase their latest product capabilities as well, particularly in 800G coherent optics.
Operators and vendors have been targeting the U.S. market recently with a number of new offerings that enable enterprises to provide a secure IT and communications environment for their employees that are increasingly likely to work-from-home even after the pandemic subsides.
5G proponents have thus far struggled to identify workable use cases for 5G fixed wireless, particularly as a replacement for fixed broadband. The incremental enterprise opportunity may represent the true 5G FWA use case.
Google became the latest big company to embrace an extended – and perhaps permanent – employment paradigm in which many employees will be working from home, at least part-time, for the foreseeable future. Google CEO Sundar Pichai announced March 5 that Google will allow approximately 20% of workers to stay home permanently, and most employees will be able to work from home two days per week. Google joins a host of companies embracing hybrid working environments even once pandemic restrictions have fully eased. Continue reading “Homeworkers May Be the True Market Opportunity for 5G Fixed Wireless”→
• T-Mobile US and Lumen announced an alliance in April to sell packages of edge computing services and 5G wireless to enterprises in the U.S.
• The venture leverages the strengths and blunts the weaknesses of both companies. Longer-term, it could lead to a merger that would enable both companies to compete more effectively against AT&T and Verizon.
T-Mobile US and Lumen Technologies announced in April that they will embark on a strategic alliance to help business customers build, manage, and scale applications across distributed environments. The partners note that enterprise applications would benefit from Lumen’s hundreds of thousands of fiber-connected enterprise locations paired with T-Mobile’s large and fast 5G network. T-Mobile will also become a preferred wireless connectivity partner for Lumen, allowing for a more flexible and reliable connectivity solution for all enterprises. Continue reading “T-Mobile US–Lumen Alliance Combines 5G and Edge: Is a Merger the Next Logical Step?”→
• Despite the impact of COVID-19, capital spending by US network operators was down relatively modestly in 2020, falling by around 4%.
• 2021 guidance from these operators shows a return to roughly similar levels as 2019. Continued demand for additional network capacity along with new 5G imperatives clearly remain.
An analysis of US operator financial results based on Q4 2020 earnings releases shows that while COVID-19 did slow capital investment, it could have been worse. Thanks to a flurry of activity toward the end of the year, the nine publicly-reported carriers, all of which spent in excess of $1 billion in capex, accounted for just over $67 billion in spending. That was down by approximately $3 billion, or 4.2%, compared to 2019. GlobalData estimates that the big three that account for nearly 70% of total capex – AT&T, Verizon, and T-Mobile USA – spent roughly $46 billion, down 6.1% from 2019. However, the bulk of the decline was attributable to AT&T. Continue reading “US Operators Signal Higher Capex in 2021 After a COVID-Dampened 2020”→
• GSMA is moving forward with plans for an-in person MWC Barcelona event, though roughly half its normal size and with numerous COVID-19-related precautions.
• Despite moving the date back four months to June 2021, there are still many obstacles to overcome before an actual event will even be feasible.
After the GSM Association (GSMA) made the difficult decision to cancel Mobile World Congress (MWC2020), the largest mobile event in the world, last February, it spent months working with exhibitors on a revised package of discounts to future events. For most exhibitors, the compromise package meant agreeing to forego any cash refund. Instead, these companies agreed to a series of rebates on future events, including a 65% credit on MWC2021, a 35% credit on MWC2022, and a 25% credit on MWC2023.
The event, held annually in Barcelona, was originally scheduled for this week. However, last September the GSMA agreed to postpone the event by four months to hedge its bets, just as Europe was heading into its second wave of COVID-19 infections. The question now is whether even the additional four months will be enough time to carry off a physical event. Continue reading “MWC2021 Organizers Insist the Show Must Go On”→