STAMFORD, Conn., Feb. 1, 2021 /PRNewswire/ -- Charter
Communications, Inc. (NASDAQ: CHTR) today announced the launch of a
multiyear, multibillion-dollar broadband buildout initiative to
deliver gigabit high-speed broadband access to more than 1 million
unserved customer locations, as estimated by the Federal
Communications Commission (FCC) and awarded to Charter in the Rural
Digital Opportunity Fund (RDOF) Phase I auction. Charter expects to
invest approximately $5 billion to
support its buildout initiative - offset by $1.2 billion in support won from the RDOF auction
- expanding Charter's network to lower-density, mostly rural
communities that do not have access to broadband service of at
least 25/3 Mbps.
The new initiative is in addition to Charter's existing network
expansion plans, including numerous state broadband grant projects,
as well as the Company's previously planned privately funded
expansions. The network Charter will build in these rural areas
will offer 1 Gbps high–speed broadband access to all newly served
customer locations with starting speeds of 200 Mbps, enabling
consumers to engage in remote learning, work, telemedicine and
other applications that require high-bandwidth, low-latency
connectivity. These new customer locations also will
benefit from Charter's high-value Spectrum pricing and packaging
structure, including its Spectrum Mobile™, Spectrum TV and Spectrum
Voice offerings. The Company will continue to apply its
customer-friendly policies in newly served regions, including no
data caps, modem fees or annual contracts, combined with
high-quality service provided by U.S.-based, insourced
employees.
Today's announced initiative offers Charter an attractive
long-term investment opportunity, as it will drive additional
customer growth via an expanded footprint in unserved areas.
Additionally, the presence of Charter's modern communications
network in these rural areas may result in economic development and
more homes and businesses for Charter to serve in these communities
and additional buildout to adjacent communities, producing greater
investment returns over time. Charter looks forward to
participating in additional public-private partnerships to expand
broadband access.
"The pandemic has further highlighted the need for broadband
availability and adoption and Charter is committed to furthering
its efforts as part of the comprehensive solution needed to address
these challenges," said Tom
Rutledge, Chairman and CEO of Charter Communications. "As
Americans across the country increasingly rely on broadband to
work, learn, access healthcare and stay in touch with family and
loved ones, bringing broadband access to more unserved areas should
be a priority for all stakeholders. Charter's new
multibillion-dollar buildout initiative further highlights the
importance of the sophisticated broadband networks that the U.S.
cable industry has built over several decades, and the industry's
commitment to the local communities it serves. As we continue to
help provide more Americans with reliable access to the internet
ecosystem, our hope is that federal, state and local authorities,
other private companies, pole owners and broadband providers will
work together and play a pivotal role in expanding networks to
unserved areas."
Preparation for the RDOF Phase I broadband buildout has already
begun and will include Charter expanding its existing construction
organization in order to focus on deployment of this new fiber
optic network. Charter expects to hire more than 2,000 employees
and contractors to support the RDOF and future rural buildout
initiatives. In addition to Charter's ongoing network expansion,
the RDOF program alone will drive a 15% increase in the Company's
network mileage coverage while expanding service to more than 1
million previously unserved homes and businesses across 24 states
as estimated by the FCC. The states are: Alabama, California, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Massachusetts, Michigan, Missouri, New
Hampshire, New Mexico,
North Carolina, Ohio, Oregon,
Pennsylvania, South Carolina, Tennessee, Texas, Vermont, Virginia, Washington, and Wisconsin.
The successful and timely execution of today's announced
initiative is dependent on a variety of external factors, including
the utility pole permitting and "make-ready" processes. With fewer
homes and businesses in these areas, broadband providers need to
access multiple poles for every new home served, as opposed to
multiple homes per pole in higher-density settings. As a result,
pole applications, pole replacement rules and their affiliated
issue resolution processes are all factors that can have a
significant impact on the length of time it takes to build into
these rural areas.
Rutledge added, "The more cooperation we have with the pole
owners and utility companies, the faster we can connect these
communities with high-speed internet services. We look forward to
working with local municipalities, electric cooperatives, and
investor-owned utilities to ensure that permits are obtained in a
timely, fair and cost-effective fashion."
Charter's operating strategy has succeeded in producing
industry-leading broadband growth and the associated construction
experience that will facilitate the Company's continued expansion
of rural connectivity services and ongoing success for all
stakeholders. In the last three years alone, Charter has invested
more than $20 billion in
American infrastructure and technology, continually investing in
its existing network to provide new services and accommodate higher
traffic, and has at the same time extended its network to
reach nearly 2.5 million new homes and businesses, about
one-third of which are in rural areas.
About Charter
Charter Communications, Inc. (NASDAQ:CHTR) is a leading
broadband connectivity company and cable operator serving more than
31 million customers in 41 states through its Spectrum brand. Over
an advanced communications network, the company offers a full range
of state-of-the-art residential and business services including
Spectrum Internet®, TV, Mobile and Voice.
For small and medium-sized companies, Spectrum Business®
delivers the same suite of broadband products and services coupled
with special features and applications to enhance productivity,
while for larger businesses and government entities, Spectrum
Enterprise provides highly customized, fiber-based solutions.
Spectrum Reach® delivers tailored advertising and production for
the modern media landscape. The company also distributes
award-winning news coverage, sports and high-quality original
programming to its customers through Spectrum Networks and Spectrum
Originals. More information about Charter can be found at
corporate.charter.com.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
STATEMENTS
This communication includes forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of
1934, as amended, regarding, among other things, our plans,
strategies and prospects, both business and financial.
Although we believe that our plans, intentions and expectations as
reflected in or suggested by these forward-looking statements are
reasonable, we cannot assure you that we will achieve or realize
these plans, intentions or expectations. Forward-looking
statements are inherently subject to risks, uncertainties and
assumptions including, without limitation, the factors described
under "Risk Factors" from time to time in our filings with the
SEC. Many of the forward-looking statements contained in this
communication may be identified by the use of forward-looking words
such as "believe," "expect," "anticipate," "should," "planned,"
"will," "may," "intend," "estimated," "aim," "on track," "target,"
"opportunity," "tentative," "positioning," "designed," "create,"
"predict," "project," "initiatives," "seek," "would," "could,"
"continue," "ongoing," "upside," "increases" and "potential," among
others.
All forward-looking statements attributable to us or any person
acting on our behalf are expressly qualified in their entirety by
this cautionary statement. We are under no duty or obligation
to update any of the forward-looking statements after the date of
this communication.
View original content to download
multimedia:http://www.prnewswire.com/news-releases/charter-communications-launches-new-multiyear-multibillion-dollar-initiative-to-expand-broadband-availability-to-over-1-million-new-customer-locations-301218585.html
SOURCE Charter Communications, Inc.