AT&T to Invest $400 Million in Tennessee for Statewide Cable

July 8, 2008

AT&T has announced they have applied for a statewide cable franchise to provide cable television, high-speed Internet, and phone services to communities in Tennessee. The company will invest approximately $400 million over the next few years in fiber network upgrades, further broadband deployment, and Internet-based technologies to bring AT&T U-verse service to customers across the state over its 100 percent Internet Protocol (IP)-based network.

AT&T Applies for Statewide Cable Franchise in Tennessee

Following a lengthy legal battle between AT&T, cable companies, and local government agencies, House Bill 1421 - The Competitive Cable and Video Services Act of 2008 - was passed by the Tennessee Legislature and signed into law. The new law allows statewide cable franchises rather than requiring companies to apply for permits for each city or community they wish to serve.

"The Legislature and the governor have created a competitive environment for video services, and consumers are the real winners," said Gregg Morton, president of AT&T Tennessee. "We commend them for their vision." He added, "It will take time to enhance our network to offer these services, but we will move as quickly as possible."

AT&T U-verse Service to be Available in 56 Tennessee Communities

House Bill 1421 should encourage investment in next-generation broadband network infrastructure and will help bring new technology to Tennessee. On the first day the bill became effective, AT&T filed its initial application for a state-issued certificate of franchise authority to offer its services across the state. Within two years of receiving franchise approval, AT&T plans to offer U-verse to its current service area of 56 cities including Chattanooga, Knoxville, Memphis, and Nashville, as well as unincorporated areas in 29 counties.