AT&T Hikes Broadband Rates

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AT&T will raise rates for most of its major broadband plans in its 13-state legacy region starting in March, the company said this week.

Prices won't increase for AT&T's Elite service, which currently goes for $34.99 a month when bundled with home phone and $38.99 per month when ordered as stand-alone, according to AT&T spokesperson Brad Mays.

He also says the change does not affect customers in the legacy BellSouth region, nor does it change either of the merger offers for $19.95 stand-alone DSL or $10 DSL bundled with home phone service. Any customers who have signed up for promotional package deals will also not be affected.

The broadband rate hikes for the 13-state legacy area come just over a month after AT&T CEO Randall Stephens told investors that the company's broadband subscriptions were being hurt by a weakened economy.

Mays calls the price increase modest and adds that "even with this adjustment, our pricing still beats cable's standard pricing across the board."

AT&T's basic service, which offers speeds of up to 768Kbps, will now cost $19.95 per month. Its Express offer (up to 1.5Mbps) will cost $25 per month when bundled with home phone service, and $29 per month as stand-alone. Its Pro service (up to 3Mbps) will increase to $30 per month when bundled with home phone service and $34 per month as stand-alone.

The 13 states in AT&T's legacy region that will be affected by the change are California, Nevada, Kansas, Oklahoma, Arkansas, Texas, Missouri, Wisconsin, Illinois, Indiana, Michigan, Ohio and Connecticut.

This story, "AT&T Hikes Broadband Rates" was originally published by Network World.

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