Comcast, which is known for being the largest cable company in the US has recently announced that it plans to widen its range to include wireless communication services. That is, it is going head to head against established providers like AT&T, Verizon, T-Mobile and Sprint. The new venture, currently called Comcast Wireless, is set to go public by mid 2017.
What Services Will Be Provided?
According to Chron, Comcast Wireless will, just like all other cellular providers, will offer different options in terms of outgoing calls and web browsing in smartphones.
However, Comcast has not confirmed whether or not it will offer smartphones, like current providers do.
How Will This Work?
Comcast currently owns a network of 15 million WiFi hotspots across the US. The company would only need to make slight changes so that these hotspots can also provide mobile voice and data services. Theoretically, there would be no need to set up and built all new cellular towers.
Are Fifteen Million Hotspots Enough?
Though it seems like a big number, there are areas in the Unites States that are not reachable with Comcast's WiFi hotspots. This could spell trouble for the company, as this would also limit its wireless services. However, as Fortune reports, Comcast struck deal with Verizon almost five years ago that will become beneficial this year.
The deal was that Comcast would provide airwaves to Verizon that would expand the latter's cellular capacity. In exchange, Verizon promised that Comcast could ride on its infrastructure, when the need arises. As the network's president Neil Smit described, the deal "enable us to execute a comprehensive, long-term wireless strategy."
Will There Be Bundles?
Comcast CEO Brian Roberts shared that 70 percent of clients normally purchase products in bundles. By adding wireless to the mix, the company is looking to "sell [customers] more products." Furthermore, the company believes that providing bundles will give it an edge over future competition.
