SBC Communications Inc. on Thursday announced plans to reach 18 million homes with an IP network by the end of 2007 at a cost of $4 billion.
The No. 2 local phone company said it plans to introduce TV services over the new network in the fourth quarter of 2005.
SBC expects “Project Lightspeed” to cost $4 billion over three years. The San Antonio company also says there will be customer activation capital expenditures of approximately $1 billion, which will be spread out over 2006 and 2007.
SBC plans to reach most homes by building fiber to neighborhoods and using advanced compression technologies to deliver phone service, high-speed Internet access and video service over the copper network. The company also plans to build fiber networks directly to homes in new housing developments and some multi-dwelling units.
Verizon Communications Inc., the biggest local phone company, also has announced plans to build an advanced IP network to millions of homes at a time when the cable TV industry led by Cox Communications Inc. and others is aggressively expanding into the residential phone business.
