5G technology and devices
We’ve been watching the race between the top two US telecom providers, Verizon (VZ) and AT&T (T), in implementing 5G technology to as many markets as possible. Verizon launched its first commercial 5G service in four cities in October. The company has promised typical 5G download speeds of 300 Mbps and peak speeds of 1 Gbps. Similarly, AT&T announced in October that it’s set to launch its 5G service this year across at least 12 cities. T-Mobile (TMUS), which is in the process of merging with Sprint (S), also promised to bring 5G technology to its network sooner.
Now this race has shifted to the launch of 5G devices on these telecom providers’ networks. On Tuesday, AT&T announced that it will launch the second Samsung (SSNLF) 5G smartphone on its network in the first half of 2019. Verizon made a similar announcement about partnering with Samsung for a 5G smartphone a day earlier, on Monday.
These companies are investing significantly in next-generation 5G technology to gain as many subscribers as possible. AT&T’s stock is down 22% while Verizon’s stock is up 7% year-to-date.