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AT&T Bets $23 bn on 5G Expansion with Ericsson, Promises Faster Speeds, Better Coverage and AI-Ready Network

AT&T is accelerating its 5G network expansion after completing its $23 billion acquisition of spectrum from EchoStar, strengthening its spectrum portfolio with Ericsson’s radio technology. The investment is designed to improve wireless coverage, increase network capacity, deliver faster download speeds, and prepare the operator’s infrastructure for AI-driven applications across the United States.

AT&T $250 billion investment plan

The acquisition adds 30 MHz of nationwide 3.45 GHz mid-band spectrum and approximately 20 MHz of nationwide 600 MHz low-band spectrum, covering virtually every U.S. market. The newly acquired 600 MHz spectrum is particularly valuable because it travels farther than higher-frequency spectrum and provides stronger indoor coverage, allowing AT&T to improve connectivity in homes, offices, urban centers, highways, and rural communities.

AT&T has selected Ericsson to supply advanced 600 MHz dual-band radios, enabling the deployment of 8RX uplink-enhancing technology across low-band spectrum for the first time. The company said the technology will strengthen network performance while supporting emerging AI-driven services that require faster uploads, real-time collaboration, and more reliable connectivity.

The deployment forms part of AT&T’s wireless network modernization program, which is now more than 60 percent complete. According to the company, markets upgraded with Ericsson infrastructure are already delivering measurable improvements for customers.

Yigal Elbaz, Network CTO at AT&T, said customers in upgraded areas are experiencing up to 2x faster average wireless speeds, while dropped and blocked calls have been reduced by 10 percent. The company has also lowered instances of slower mobile data performance by up to 70 percent, while equipment standardization at cell towers has reduced uplink interference by up to 80 percent, improving network efficiency and reliability.

The expanded spectrum portfolio will also increase AT&T’s 5G capacity as mobile data usage continues to grow. By combining low-band and mid-band spectrum assets with Ericsson’s radio technology, the operator aims to deliver broader coverage alongside higher performance, creating a more flexible network capable of supporting next-generation AI applications.

The latest deployment also builds on the companies’ previously announced collaboration to accelerate Open RAN deployment across AT&T’s wireless network, supporting a more open and software-driven network architecture.

AT&T has not announced a commercial launch timeline for services using the newly deployed 600 MHz spectrum, saying additional deployment plans and availability details will be shared later.

The network expansion aligns with AT&T’s increased investment in infrastructure during Q2 2026. Capital expenditures related to continuing operations rose to $5.7 billion, up from $4.9 billion a year earlier. Total capital investment increased to $6.1 billion from $5.1 billion, while cash payments for vendor financing doubled to $0.4 billion from $0.2 billion in the prior-year quarter, reflecting the company’s continued focus on expanding 5G coverage and strengthening its AI-ready wireless network.

BABURAJAN KIZHAKEDATH

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