by Alyssa Oursler | August 21, 2012 10:54 am
Telecomm providers AT&T (NYSE:T[1]) and Verizon (NYSE:V[2]) are clearly the two biggest names in the game, battling in an ongoing duel[3] for the top spot in the cell phone carrier world.
And while AT&T may boast the nation’s largest 4G network, that same network is actually, in some places, just downright awful.
In a recent list of the ten spottiest areas for cell phone reception[4], AT&T was honored with the title of “worst carrier” in the worst three cities — Oklahoma City, Colorado Springs, Colo., and Bakersfied Calif. — and in four cities total.
Another slacker when it comes to service? T-Mobile, the U.S. wireless arm of Deutsche Telekom (OTCQX:DTEGY[5]), which has been facing countless stumbling blocks[6] of late.
AT&T should be glad that its bid to buy the smaller rival[7] fell through, even though it cost them $4 billion at the time. If it hadn’t, AT&T would have been in charge of the worst coverage for all ten terrible areas on the list.
Sprint Nextel (NYSE:S[8]), on the other hand — which has been one of the market’s best performers so far this year[9] and is a member of InvestorPlace’s Real America Index[10] — took the cake as the best carrier in nine out of ten worst areas (which I guess is something to be proud of), while Verizon filled in the final spot on the list.
In the spottiest cities, AT&T has little to offer except for dropped calls and slow web-browsing — especially considering that the company no long is the only one offering Apple’s (NASDAQ:AAPL[11]) iPhone.
Verizon began selling the smartphone some time ago and even Sprint’s Virgin Mobile pre-paid network began offering the popular product[12] earlier this summer. Plus, Verizon just added its “Share Everything” plan[13], making it even easier for customers to hook up other gadgets — from an iPad to an Amazon (NASDAQ:AMZN) Kindle — to its wireless network.
As of right now, the only thing setting the company apart is that it offers the iPhone 4s on the 4G network — a whole G more than if you were to buy the product from Verizon. If you want that extra G at Verizon, you’d have to step away from Apple and settle for the newest edition of Samsung’s Galaxy — for now, at least. When the highly-anticipated iPhone 5[14] comes out, chances are that will change.
And for consumers stuck in a city where reception isn’t so receptive, that may be all Verizon needs to edge out AT&T’s sub-par service.
Source URL: https://investorplace.com/2012/08/att-drops-the-ball-with-dropped-calls/
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