Broadband companies cut capital expenditure despite net neutrality win

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The big four US broadband companies invested less in capital projects in 2018 than they did in 2017, undermining one of the rationales for a controversial decision by the Trump administration to remove net neutrality protections. Earnings reported recently show Verizon, AT&T, Charter Communications and Comcast collectively undertook slightly less capital spending in 2018 than in 2017, the first time there has been a drop in three years. They spent $56.9 billion in 2018, compared with $57.1 billion the previous year and $56.1 billion in 2016. The findings call into question one of the main arguments the industry used in its successful campaign to have the Federal Communications Commission overturn the Obama-era net neutrality regulations — a move that sparked anger among internet companies, activists and Democratic politicians.

Broadband groups cut capital expenditure despite net neutrality win