Xfinity Mobile will operate as a mobile virtual network operator similarly to how smaller wireless companies use networks from larger carriers.
"We're doing mobile differently by bringing our customers the best networks and a product created to save them money in an increasingly data-driven world", Greg Butz, president of Comcast Mobile, said in a statement.
Cavanagh told analysts that Comcast would leverage its existing internet subscribers, its 16 million existing WiFi hotspots and overall marketing efforts to drive interest in Xfinity Mobile.
But because Comcast has to pay Verizon for the data it uses, Comcast's wireless plan is created to push customers onto Wi-Fi as often as possible.
Who will be able to use Xfinity Mobile? ○ Use the Xfinity Mobile app to view your data use and call logs in real time, manage payment options, switch back-and-forth between data options, order a new device or add additional lines.
Among the hurdles Comcast may face with the Xfinity Mobile launch is overcoming the generally poor reputation cable companies have for service and support.
Comcast will throttle or reduce speeds after 20GB of cellular usage. The plan pricing seems decent, at least if you've got one or two lines, and the customer support via text messaging is an interesting option for folks that hate talking on the phone. AT&T has moved aggressively onto its turf, offering low-priced TV packages that can be watched on-the-go and don't count toward monthly data limits. Most notably, AT&T announced its eyebrow-raising $85 billion deal to buy media company Time Warner (TWX - Free Report) previous year, in addition to its various moves to diversify into the entertainment industry, like its purchase of DirecTV. Comcast says that "every inch" of Verizon's network will be made available to Comcast customers.
In late 2011, Comcast and other companies sold Verizon a big chunk of wireless spectrum for $3.6 billion after a consortium of cable companies, including Comcast, didnt connect with consumers with its wireless phone product.
"I just don't see Xfinity Mobile being created to be a market disrupter", he says.
Reuters reports this morning that Comcast will be giving discounts to its customers that bundle services. While many carriers today tout offers where they'll pay the early termination fees or your remaining bill with your old carrier, Comcast is making no such offer to potential customers. Yep, believe it or not, Comcast is now a wireless carrier, though they fall in the MVNO crowd rather than in direct competition with Verizon, AT&T, T-Mobile, and the rest of the bunch. "Not with us", he said.
Xfinity Mobile is launching soon.
For Comcast, this could be a way to test out the wireless business before it makes a major investment in it.
"Comcast understands the need to get back into the wireless business for their own survival".
AT&T has launched its DirecTV Now service that streams live television to smart phones and mobile devices - a service that Comcast can't offer on its own without Xfinity Mobile.
However, the cost for an unlimited plan goes up substantially for lower-tier Xfinity subscribers, rising to $65 per month per line.