For years, Comcast has built their business on bundling. The goal of every sales agent was to get a “triple play” sale that included TV, internet, and voice. Now Comcast has announced that they are shifting away from bundles as they push internet-only broadband to customers.
According to a story from the Wall Street Journal, Comcast is seeing the growth of cord cutting as a benefit to their broadband business because Comcast added 260,000 internet customers in the second quarter of 2018. This was a 49% jump from one year ago. During the same time, video customers declined by 1.9%.
While Comcast is riding high off the growth of broadband customers, there are dark warning clouds on the horizon.
Later this year, Verizon, Dish, and T-Mobile are launching 5G wireless home internet to compete with Comcast. Even Charter is starting to test 5G home internet in markets Comcast traditionally owned like Grand Rapids, Michigan, the second-largest city in Michigan.
Comcast has a new issue: companies like C-Spire offering 120 Mbps down 5G internet with no data cap for just $50 a month.
While a handful of cities like New York and Houston will see 5G in 2018, many more will see it roll out in 2019. The current goal is to have half the United States with 5G home internet by the end of 2020. That could quickly bring cord cutting to home internet and put a real pinch on Comcast and other cable providers.
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