Charter adds broadband customers in 4Q17
In 4Q17, Charter Communications (CHTR) added a total of 263,000 broadband customers. This 4Q additions number, however, declined 26.3% on a YoY (year-over-year) basis. In 4Q16, the telecom company added 357,000 Internet customers.
Charter focusing on Internet speed
In December 2017, Charter rolled out its Spectrum Internet Gig service with a speed of 940 Mbps (megabytes per second) in a number of US markets. The service uses DOCSIS 3.1 technology, which will be available for additional launches in 2018.
Charter is planning to accelerate its minimum Internet speeds to 200 Mbps for its Spectrum Internet customers in some US markets at no added costs.
The US Internet market
At the end of 2017, Comcast (CMCSA) was the largest cable company and has the largest Internet subscriber base in the United States, with 25.9 million broadband subscribers. Charter, the second-largest cable company, reached 22.5 million Internet customers at the end of December 31, 2017, up 5.5% from 4Q17.
Notably, Charter Communications and Comcast offer superior Internet speeds and are thus expected to add the most broadband customers, compared with operators like AT&T (T) and Verizon Communications (VZ).
After Charter Communications, AT&T has the third-largest Internet customer base, with 15.7 million broadband customers at the end of December. Verizon has the fourth-largest Internet subscriber base in the US, with 7.0 million broadband customers.
Continue to the next part for a closer look at Charter’s capital expentitures.