AT&T is continuing its efforts to strengthen and expand the company's 5G wireless and fiber Internet networks. “We were again a top investor in America's connectivity through our 5G and fiber networks in 2023,” said John Stankey, AT&T CEO.

Stankey was speaking yesterday at AT&T’s fourth quarter earnings call. Revenue for the quarter of $32 billion was an incremental gain from the fourth quarter of 2022 when revenue was reported at $31.34 billion. A key highlight for AT&T is its wireless service division which grew by 3.9% year-over-year. In contrast the wireline business continues to decline with revenue down 10.3% as wireless migration continues to take hold across corporate America.

With over a century of history as a wireline provider, AT&T is not abandoning wires anytime soon.

Historically those wires were copper, but in the modern era, AT&T's wireline business growth is focussed on fiber and Broadband. Wireless is also growing in an overall strategy the company refers to as converged connectivity.

“We already have North America's largest wireless network and the nation's largest and fastest growing fiber network,” Stankey said. “There is simply no debate that 5G and fiber are hands down the best connectivity technologies available and we are the only provider that benefits from owners' economics at scale on both technologies.”

Stankey is also particularly enthusiastic about AT&T's expanding fiber Internet service. Fiber delivers ultra-fast connection speeds and enhanced reliability.

“In addition to delivering high margin revenue growth, fiber is more energy efficient, requires less maintenance, and customers keep the service longer,” he said. “We remain on track to pass our 30 million plus consumer and business fiber location target by the end of 2025.”

In areas where fiber isn't deployed or can't be deployed, the company has its AT&T Internet Air service, which is a fixed wireless access (Fixed-Wireless Access) technology that debuted in the summer of 2023. AT&T Internet Air competes against FWA services from rivals Verizon and T-Mobile, and uses the C-band spectrum of 5G.

Unlike Verizon, which also reported earnings this week, AT&T is not positioning FWA as a primary access technology that is intended to displace wired connectivity options. Stankey stressed during the earnings call that AT&T will not be pushing FWA in the same way that its rivals position the technology.

“We've made a conscious choice as a company that we want to dedicate capital to investing in fiber, which we believe is a more sustainable, long-term means to deal with stationary and fixed Broadband needs,” he said.

“It doesn't mean that we don't think that fixed wireless serves some segment of the market. It does. It serves certain types of circumstances in the consumer base. It serves certain types of circumstances in the business base and we will take advantage of those certain circumstances.”