Verizon, T-Mobile, and AT&T are now competing to provide in-building Wi-Fi for apartments.
With major carriers buying up smaller internet providers, the promise of more competition might just be an illusion for millions of renters.
Internet service provider consolidation continues to be a concern for apartment residents in the U.S., as choices for home internet are limited. A recent acquisition by Verizon may further complicate the situation.
Verizon recently announced its purchase of Starry, a company providing high-speed wireless internet to apartment buildings. While this may initially appear positive, it could lead to a future where home internet options are limited to the same companies providing cell service. T-Mobile and AT&T are likely monitoring this development.
The traditional method of delivering home internet involved underground cables. Fiber installation is expensive and slow, restricting options to the local cable company or a DSL provider. However, 5G and fixed wireless access (FWA) have changed this, enabling companies like Verizon to use cellular networks to transmit internet directly to buildings, avoiding fiber installation costs.
Starry specialized in serving multi-dwelling units (MDUs), or apartment buildings. With the acquisition, Verizon gains technology, and access to buildings full of potential customers, in an effort to dominate the cable-controlled market.
Verizon's move is a response to T-Mobile's 5G Home Internet success, which offers simple, flat-fee service with easy self-setup. T-Mobile has attracted numerous customers seeking alternatives to cable companies, adding subscribers each quarter.
AT&T also competes with its fixed wireless service, AT&T Internet Air, while expanding its fiber network.
This competition is driving consolidation, with Verizon acquiring Starry and T-Mobile investing in regional fiber companies. The major mobile carriers are acquiring smaller ISPs, reducing local competition and potentially leading to a market dominated by the Big Three.
This creates challenges for apartment residents because landlords can exploit loopholes to favor specific ISPs, despite FCC rules against exclusive access. Landlords might use exclusive marketing agreements or bulk-billing deals, limiting residents' choices.
The Verizon-Starry deal raises concerns about Verizon offering property management companies deals to become the preferred provider, potentially restricting options for residents who may prefer T-Mobile or a local fiber provider.
The shift from cable companies to mobile carriers as gatekeepers may result in a duopoly or triopoly, reducing consumer power. Smaller ISPs are being acquired, and apartment residents risk having their internet provider chosen for them, diminishing their options.
The traditional method of delivering home internet involved underground cables. Fiber installation is expensive and slow, restricting options to the local cable company or a DSL provider. However, 5G and fixed wireless access (FWA) have changed this, enabling companies like Verizon to use cellular networks to transmit internet directly to buildings, avoiding fiber installation costs.
Starry specialized in serving multi-dwelling units (MDUs), or apartment buildings. With the acquisition, Verizon gains technology, and access to buildings full of potential customers, in an effort to dominate the cable-controlled market.
Verizon's move is a response to T-Mobile's 5G Home Internet success, which offers simple, flat-fee service with easy self-setup. T-Mobile has attracted numerous customers seeking alternatives to cable companies, adding subscribers each quarter.
AT&T also competes with its fixed wireless service, AT&T Internet Air, while expanding its fiber network.
This competition is driving consolidation, with Verizon acquiring Starry and T-Mobile investing in regional fiber companies. The major mobile carriers are acquiring smaller ISPs, reducing local competition and potentially leading to a market dominated by the Big Three.
This creates challenges for apartment residents because landlords can exploit loopholes to favor specific ISPs, despite FCC rules against exclusive access. Landlords might use exclusive marketing agreements or bulk-billing deals, limiting residents' choices.
The Verizon-Starry deal raises concerns about Verizon offering property management companies deals to become the preferred provider, potentially restricting options for residents who may prefer T-Mobile or a local fiber provider.
The shift from cable companies to mobile carriers as gatekeepers may result in a duopoly or triopoly, reducing consumer power. Smaller ISPs are being acquired, and apartment residents risk having their internet provider chosen for them, diminishing their options.
Verizon's broadband move will be closely watched by T-Mobile and AT&T. T-Mobile's T-Satellite and similar services are projected to see revenue increases in 2026.
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