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How AT&T’s Network Performance Is Trending Now

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AT&T’s network performance

The network performance of a mobile carrier plays a crucial role in customer retention. AT&T’s (T) postpaid phone churn rate improved YoY (year-over-year) to 0.84% in 3Q17 from 0.90% in 3Q16 and is evidence that the company’s network is becoming more competitive.

This trend is beneficial for AT&T because its upcoming competitors Sprint (S) and T-Mobile (TMUS) have tried to attract customers from US wireless service providers AT&T and Verizon (VZ).

AT&T has spent nearly $14.0 billion on its Project Velocity IP (or VIP), a program directed at enhancing its wireless and wireline broadband infrastructure.

AT&T is concentrating on software-defined networking (or SDN) and NFV (network function virtualization) technologies to enhance its network.

At the end of 3Q17, AT&T can virtualize about 45% of its network functions with a goal of reaching 55% by the end of 2017. Its long-term goal is about 75% by the end of 2020.

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RootMetrics

According to RootMetrics’s first half 2017 RootScore report, at the national level, AT&T secured second place in five out of six network performance categories. These categories were: network reliability, overall performance, data performance, call performance, and speed performance.

AT&T shared the top spot in the text performance category. For eight consecutive test periods, AT&T has remained a strong second-place performer, trailing Verizon according to the RootScore report.

AT&T has earned scores of 92.9 for overall network performance, compared with T-Mobile’s score of 86.5, Sprint’s score of 87.9, and Verizon’s score of 94.5.

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