- Charter Communications, Inc CHTR offered a free wireless phone line to some new and existing customers as the fight between cable companies, and their telecom rivals gained momentum.
- Wireless customers who purchase a new mobile line for $30 a month will get a second line for free.
- Charter already offered Spectrum One, a $50-a-month plan that includes internet access and one mobile line.
- Also Read: Wireless Carriers T-Mobile, Verizon, AT&T And Broadband-Internet Providers Comcast, Charter Compete For Customers
- Charter lowered the cost of its mobile service to $30 a month from $45 as part of the promotion, Bloomberg reports.
- The leading cable TV provider will tout the new pricing in a media campaign starting this week.
- Charter, whose broadband growth collapsed at the hands of wireless home internet and fiber services, hoped the low-cost wireless offer would help stem some of the customer losses it’s seeing in its 41-state territory.
- The promotion coincided with Charter sending out notifications to broadband customers that they would see a $5 rate increase on their following bills. Those price increases apply to internet-only customers in most markets.
- The report noted Charter and Comcast Corp CMCSA each added more than 300,000 mobile subscribers last quarter thanks to their wireless service.
- Charter executives said on an earnings call that packaging mobile and broadband promotions like Spectrum One is a way to revive broadband growth.
- “Spectrum One has the opportunity to drive incremental internet growth,” said Chris Winfrey, chief operating officer, who will take over as CEO when Tom Rutledge steps down in December.
- The Spectrum One bundle will compete directly with T-Mobile US, Inc’s TMUS $50 wireless home internet and mobile phone package.
- In June, Verizon Communications Inc VZ cut the price of its entry-level broadband service to $25 a month for wireless customers on top-tier plans.
- Telecom groups pushed European regulators to consider a price for the companies that send traffic along their networks to help fund mammoth upgrades to their infrastructure.
- Price Action: CHTR shares closed lower by 0.17% at $367.62 on Monday.