AT&T Launches Advanced Connectivity Segment, Phases Out Legacy DSL
T•AT&T consolidated its 5G and fiber offerings into a new Advanced Connectivity segment in Q1 2026, effectively phasing out its legacy DSL business. T-Mobile still delivered 217,000 postpaid net account additions and raised its postpaid ARPA 3.9% to $151.93, underscoring strong subscriber demand despite reporting shifts.
1. Reporting Structure Overhaul
For its Q1 2026 cycle, AT&T moved all 5G and fiber services into a new Advanced Connectivity segment, which highlights its multiservice convergence strategy while effectively removing slower-growing DSL revenue from standalone reporting. This shift aligns service offerings under one umbrella, aiming to simplify metrics around account growth but obscuring legacy DSL performance trends.
2. Industry Context and Implications
Verizon and T-Mobile similarly revamped their disclosures, with Verizon simplifying mobile and broadband splits but hiding legacy business and public sector contributions, and T-Mobile replacing ARPU with aggregated ARPA metrics. Despite these changes, T-Mobile reported 217,000 postpaid net account additions—a 6% year-over-year rise—and a postpaid ARPA of $151.93, up 3.9%, signaling robust subscriber growth that may pressure cable operators facing broadband challenges.
