AT&T Sues California, Pledges $19B for Fiber While Launching $15 Build-A-Plan
AT&T launched its Build-A-Plan wireless service starting at $15 per connection and forecasted free cash flow recovery after a dip from network investments. The company sued California regulators to halt copper-wire service mandates, pledging $19 billion to extend fiber to four million additional households by 2030.
1. Build-A-Plan Launch
AT&T launched its Build-A-Plan service allowing customers to customize wireless plans starting at $15 monthly, enabling control over features like data, talk and text, targeting cost-sensitive users and strengthening its position against Verizon and T-Mobile.
2. Free Cash Flow and Investments
The company saw free cash flow dip due to significant network investments and integration costs but expects a rebound next quarter as fiber rollout advances and net customer additions improve financial metrics.
3. California Lawsuit and Fiber Expansion
AT&T filed suit against California regulators to end a $1 billion annual mandate to maintain copper-wire service for 3% of households, while committing $19 billion to connect four million more homes with fiber and build over 1,200 new cell sites by 2030.