Charter Communications’ focus on its wireless business
Charter Communications (CHTR) has been concentrating on its wireless business. Charter Communications’ management stated that it is on track to launch its wireless service in the middle of this year with the help of its MVNO (mobile virtual network operator) agreement with Verizon (VZ).
This move follows in the footsteps of Comcast (CMCSA), which recently launched Xfinity Mobile, its wireless service. Charter Communications still hasn’t finalized a pricing model. Charter Communications has formed a wireless alliance with Comcast to boost each company’s capability to compete in the wireless space.
Comcast and Charter Communications have a reseller agreement that empowers them to launch their own wireless operations using Verizon’s network. Comcast’s Xfinity Mobile wireless service is based on Verizon’s infrastructure.
Growth in mobile video traffic
The increasing focus on the wireless segment from media and telecommunications companies has been mainly due to the growth in mobile video traffic. Based on Cisco Systems’ (CSCO) VNI (Visual Networking Index), it is projected that by the end of 2020, video could comprise ~77% of mobile data traffic in the US.