Behind AT&T’s U-verse Speed Increase

AT&T increased the speed available to U-verse customers in 40 markets to 45 Mbps downstream and 6 Mbps upstream.

Previously the highest speed for most customers was 24 Mbps. Included in the upgrade were some of the company’s largest markets, including Chicago, Miami-Ft. Lauderdale, Orlando, Atlanta, Detroit, New Orleans, Cleveland and Milwaukee. According to the company, the move was part of Project Velocity IP, a three-year investment plan announced last year to expand the company’s broadband infrastructure. The company also said it plans to upgrade top tier U-verse speeds to up to 100 Mbps in the future. But despite the lip service to Project Velocity IP, it’s likely that the move was driven in large part by a desire to better compete with cable companies, which have been offering speeds as high as 300 Mbps or more in some markets. It’s also worth noting that broadband often is sold as part of a multi-play bundle that also includes video and sometimes voice service – and recently the telecommunications companies have been outperforming the cable companies on the video front.