AT&T Inc. (NYSE:T) has announced that it will spend $10 billion this year towards global businesses to boost customer experience.
The company claims that the invested funds will be pumped into its integrated solutions and will be used to push the firm’s capabilities as well as its network with particular focus on support and delivery. The company also plans to extend its platform as well as setting up new solutions in new markets.
The investment falls within the company’s investment plan, and the $10 billion is almost half of the $22 billion funds that the firm has set aside for its investment portfolio. For this particular investment, the firm will channel the funds to different enterprise related programs such as the Internet of Things and the fibre network in Mexico.
AT&T revealed its plans to incorporate more than 6,000 km of fibre in Mexico into its wireline network as part of supporting the company’s wireless operations. What this means is that the firm will boost these assets by pumping more funds into the company’s global network. This will attract more outside businesses that are fixated on selling their business solutions over the network in Mexico.
The company has been focusing quite a significant amount of its resources in Mexico, and the new investment will add on to those efforts. In 2015, AT&T invested $3 billion in the country as part of expansion efforts for high-speed mobile internet service in the country. The carrier aims to cater to 100 million customers by the end of 2018.
The Progressive Policy Institute has described AT&T as the biggest capital spender in the United States. It was also labeled as a think tank in the country. The firm invested $62 billion between 2012 and 2014 compared to $46 billion invested by rival firm Verizon Communications Inc. (NYSE:VZ) in the same period. Exxon Mobil Corporation (NYSE:XOM) was also in the comparison with an investment amount of $36 billion.
Steve McGaw, the company’s chief marketing officer for the business unit, stated that for the last ten years, AT&T has not revealed it investment efforts. Last year, AT&T acquired DIRECTV (NASDAQ:DTV) as part of its plan to venture beyond the wireless industry and dip its feet into the pay-TV industry. The latter together with the business solutions units account for three-quarters of the firm’s revenue.
Receive News & Ratings Via Email - Enter your email address below to receive a concise daily summary of the latest news and analysts’ ratings with MarketBeat.com’s FREE daily email newsletter.