AT&T to Increase DSL Pricing by $5/Month

Press Release - February 7, 2008

America’s leading DSL provider, AT&T, revealed earlier this week that it plans to increase the cost of its three most common broadband packages.

The $5/month prick hike will come into effect in March for AT&T’s 768-kbps, 1.5-Mbps, and 3-Mbps DSL customers, throughout the carrier’s traditional service area. The change will not affect southern markets acquired with AT&T’s buyout of BellSouth in late 2006. Customers who signed up under special promotion deals will also escape the price jump for the duration of their contract.

AT&T decided to raise its monthly DSL prices “to better reflect the value of our broadband service” in light of increasing demand, according to company spokesman, Michael Coe.

It is interesting to note that, just a couple of weeks ago, AT&T reported an increase in disconnections of nonpaying customers, likely driven by America’s troubled housing market and the ongoing global credit crisis.