Comcast Expected To Launch A New Cellular Service

Cable giant Comcast may soon be taking on the major mobile carriers, according to a new report the company is mulling over launching a new cellular service which will be a hybrid service that leans on Wi-Fi hotspots and Verizon’s network. It’s going to be an MVNO that’s “Wi-Fi first,” while it leans on Verizon’s network for the cellular bits.

For this purpose Comcast will resell Verizon’s wireless service. Comcast was one of the cable companies that reached a deal with Verizon back in 2011 to resell Big Red’s cellular service.

If the report is to be believed Comcast is activating the agreement some three years after it was signed. The agreement allowed Verizon to purchase spectrum from a consortium of cable companies which include Time Warner Cable, Comcast and Bright House Networks. Verizon could also resell the cable products under this deal.

Comcast has not officially commented on the matter but another report claims that Verizon CFO Fran Shammo revealed in a recent talk with investors that Verizon has been notified that cable companies will execute their 2011 MVNO deal with Verizon, but he didn’t go in the specifics of the agreement.

The cable giant can rely upon its wide network of Wi-Fi hotspots coupled with Verizon’s network to offer nationwide coverage, shifting major load over to Wi-Fi network will enable users to keep their data costs down, which will thus make Comcast’s cellular service a much more compelling option simply because it’s going to cost less.

So far though it can’t be said for sure when this service is going to be formally launched.

Adnan Farooqui
Categories: Cellphones
Tags: comcast, Verizon