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AT&T to Modify Broadband Service Options

July 31, 2008

At a Federal Communications Commission hearing concerning the future of broadband service and digital media held at Carnegie Mellon University in Pittsburg, AT&T senior vice president Robert Quinn said AT&T would be changing the way its broadband internet service is offered to customers by introducing a choice of tiered packages based on different Internet speeds. As one of many experts who testified at the hearing, Quinn said AT&T expects to roll out the modifications before the end of the year.

AT&T to Offer Minimum/Maximum DSL Speed Service Tiers

Currently AT&T offers its subscribers packages that describe Internet speeds up to a maximum potential, but since Internet speed can be affected by conditions beyond the control of Internet providers, customers do not always receive the fastest speeds advertised. The new system will provide service tiers that include a minimum and maximum range of DSL speed. If a subscriber chooses Internet speeds in the range of 1.5 to 3 Mbps, AT&T will do its best to see that the service falls in that range.

In a written statement, Quinn said, "When AT&T provides broadband service by speed, it will do so in discrete, non-overlapping tiers. We will strive to provide service within the speed tier purchased by the customer and, if we find that we are not providing service within the ordered speed tier, AT&T will take action either to bring the customer's service within the ordered tier or give the customer an option to move to a different tier."

New AT&T High-Speed Internet Service Tiers Expected by October

When referring to conditions that affect Internet speed that AT&T and other provider's cannot control he added, "One of the challenges associated with providing broadband Internet access is the fact that end-to-end Internet throughput that customers experience is largely outside the control of individual broadband providers like AT&T."

According to AT&T, subscribers should see changes in their contracts and disclosures that will "clearly identify any limitations on the amount of usage that may apply to a customer's service plan." The notices also will explain the difference between the speed capabilities that AT&T provides and the throughput speeds that are dependent on other networks.