AT&T said the shut down of its 2G network on Jan. 1 will allow it to refarm spectrum in the coming months towards its LTE and 5G network plans.
AT&T said its recent move to turn down its legacy GSM-based 2G network will benefit its ongoing push towards “5G” services by freeing up spectrum resources to support growing mobile data demand.
In a blog post, John Donovan, chief strategy officer and group president at AT&T Technology and Operations, touted the firm’s oft-cited claims of explosive data growth across its network. Those latest numbers include claims of a 250,000% increase, with video services noted to be a significant contributor.
The shut down should allow AT&T to refarm spectrum in the 850 MHz and 1.9 GHz band towards its HSPA-based 3G network, which handles the carrier’s voice traffic not traveling over its LTE network, as well as its ongoing LTE and 5G plans.
“By shutting down our 2G network, this frees up more spectrum for future network technologies, including 5G,” Donovan wrote. “In the next few months, we plan to repurpose that spectrum for LTE.”
AT&T first announced plans to shut down its 2G network in mid-2012, with the carrier at that time setting the Jan. 1, 2017, date.
Shuttering its 2G network is expected to have an impact on AT&T’s operating performance. The carrier noted in its most recent third-quarter financial results that it had around 4 million connections tied to its GSM/GPRS/EDGE network at the end of Q3, including 2.8 million connected devices, 673,000 reseller connections, 335,000 direct postpaid customers and 210,000 prepaid customers. AT&T said it had managed to migrate around 2 million customers off of the 2G network during the quarter, but that the upcoming shutdown is likely to impact fourth-quarter net additions and churn.
“We announced our plan to shut down the 2G network four years ago,” Donovan noted in the blog post. “Prior to the shutdown, we communicated frequently with our customers about upgrading to newer technologies. And we wanted it to be easy to do, so we offered discounts and free devices to eligible customers.”
AT&T rival T-Mobile US late last year targeted the move, which is set to include millions of “internet of things” devices, by offering AT&T Mobility IoT customers a free SIM card and free 2G service through the end of last year to make the switch. Details included up to 50 megabytes of 2G connectivity per device each month through 2016, with the SIM cards available as needed.
T-Mobile US said its “new spectrum-efficient 2G GSM optimization” will allow it to continue supporting 2G services through 2020, though it also will offer customers its newly approved Category 1 LTE modules should they seek longer network support.
Verizon Wireless also is said to be on track to shutter its CDMA-based 2G network by the end of 2019, which might be dependent on the migration of voice traffic to its LTE-based voice-over-LTE service. AT&T Mobility and T-Mobile US both offer VoLTE services, but also can support voice traffic on their HSPA-based 3G networks.
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