AT&T says it plans to spend about $22 billion in capital expenditures – and a lot of that will go towards improving its mobile and integrated business services capabilities, including those enabled via software-defined networking (SDN).
The Tier 1 service provider says that its expected 2017 capex outlays will bring its total spend over the past two years to more than $40 billion. By the time this year ends, more than 40% of that two-year capex spend will have gone toward mobile and business services support.
Principal capex targets within this area for 2017 include:
- Software-centric Solutions, which include AT&T NetBond, AT&T Network on Demand including AT&T FlexWare, and AT&T software-defined WAN (SD-WAN).
- Cybersecurity, including AT&T Threat Intellect, to improve the service provider's analytics and virtualized security capabilities and facilitate the developpment of new security approaches and services within AT&T Foundry locations.
- Internet of Things, including smart cities, fleet management, asset management, and healthcare applications.
- Collaboration Solutions such as AT&T Collaborate.
- Connectivity, both wireline and wireless, to include continued network expansion, Mexico integration and expansion, and enhancements to the global services portfolio.
- Wi-Fi, withNorth American service expansion, addition of availability to Mexico and Canada, further global expansion on the to-do list.
"Businesses are seeking agility in three areas. They want operational efficiency, an empowered workforce, and highly secure networking. Our smart solutions meet all of these needs and more," said Steve McGaw, chief marketing officer for AT&T Business Solutions.
"We're investing in our network and capabilities, as shown by the more than $9 billion we spent last year, to meet the evolving needs of our business customers today and tomorrow. They see the value in our company's transformation. We're transforming not just ourselves, but the industry and the experiences we deliver quickly and efficiently," he added.
For that $9 billion, AT&T says it accomplished the following in 2016:
- Rolled out AT&T FlexWare to more than 150 countries and territories.
- Expanded the AT&T NetBond ecosystem to more than 20 members and provided customers access to more than 25 cloud "solutions."
- Rolled out AT&T SD-WAN in 52 countries.
- Scaled on-demand network services, including Ethernet and Managed Internet.
- Introduced AT&T Threat Intellect.
- Activated what AT&T asserts is North America's first LTE-M-enabled commercial site to enable IoT services.
- Launched AT&T Collaborate.
- Extended its global network, including integrating and expanding AT&T Mexico's fiber-optic networks.
AT&T says its current business customer base includes nearly all the Fortune 1000 companies, more than 60% of the FTSE 100 companies, 90% of the CAC 40 companies, more than 85% of the DAX 30 companies, and more than 60% of the Nikkei 225 companies.
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