Monday, July 17, 2006

Wireline market bifurcating as big telcos sell off lines

This New York Times (registration required) article reports big telcos are getting out of the traditional telephone business and selling off lines in some markets. The business rationale is these assets provide little revenue growth opportunity compared to booming wireless services.

Bucking the trend, The Times reports, is El Dorado County's telco provider, AT&T, which is sticking with its strategy of providing both wireline and wireless services. However, there's no evidence AT&T is doing anything to expand high speed Internet access in El Dorado County by upgrading its aged wireline infrastructure to support broadband.

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