Charter adds broadband customers in Q2
In Q2 2018, Charter Communications (CHTR) added a total of 218,000 broadband customers, higher than analysts’ expectations of 185,000 additions. However, Q2 additions were lower than the additions of 230,000 customers in the corresponding quarter last year as well as the preceding quarter’s 331,000 customer additions.
Charter focuses on Internet speed
In the second quarter, Charter expanded its Spectrum Internet Gig service with speeds of 940 Mbps to some new markets. The service was initially rolled out to certain US markets in December 2017. The service uses DOCSIS 3.1 technology and is available in 60% of Charter’s footprint. Furthermore, Charter is planning to accelerate its minimum Internet speeds to 200 Mbps in some US markets at no added cost to new and existing Spectrum Internet subscribers.
US Internet market
As of June 30, Comcast (CMCSA) is the largest cable company and has the largest Internet subscriber base in the United States with 26.5 million broadband subscribers. Charter, the second largest cable company, reached 23.1 million Internet customers at the end of June 30, up 4.8% from the year-ago quarter.
After Charter Communications, AT&T (T) has the third-largest Internet customer base with 15.8 million broadband customers as of June 30. Verizon (VZ) has the fourth-largest Internet subscriber base in the US with 7.0 million broadband customers.
Charter Communications and Comcast offer superior Internet speed and are therefore expected to add the most broadband customers in comparison to other cable operators like AT&T and Verizon.