AT&T Offers Billing Credits After Network Outage, Reaffirms 2024 Goals

📝 SUMMARY: AT&T Inc. ($T) has responded to a significant disruption in its wireless service by offering a billing credit to the affected customers, showcasing the company's commitment to maintaining customer trust and satisfaction despite technical setbacks. The outage, which occurred during an expansion phase of AT&T's wireless network, lasted for several hours, starting in the early hours of Thursday and ending in the afternoon, New York time. This incident interrupted the service of hundreds of thousands of AT&T subscribers, sparking concerns over the reliability of its network infrastructure.

In a bid to mitigate the fallout from this service disruption, AT&T has decided to provide a $5 credit to its customers' wireless accounts. This amount represents the average cost of a full day of service, as outlined on the company's website. John Stankey, the Chief Executive Officer of AT&T, communicated through a letter to employees that the financial burden of this compensatory measure is "fully manageable." He emphasized that the company remains on track to achieve its business objectives for 2024, as well as its previously stated financial guidance.

Stankey's letter also addressed the nature of the outage, attributing it to "an incorrect process" during the network's expansion activities. He reassured customers and employees alike that AT&T is equipped with robust processes and redundancies to manage such challenges, underscoring the commitment to delivering a reliable connectivity experience. Despite the hiccup, AT&T, which boasts about 87 million subscribers, continues to be a major player in the U.S. wireless market, trailing behind Verizon Communications Inc. ($VZ) and T-Mobile US Inc. ($TMUS).

This incident not only highlights the complexities involved in managing and expanding a vast wireless network but also reflects AT&T's proactive approach in handling customer service issues. By acknowledging the inconvenience caused and offering compensation, AT&T aims to reinforce its reputation as a reliable service provider committed to its customers' satisfaction.

🔍 SOURCE: https://www.bloomberg.com/news/articles/2024-02-25/at-t-customers-to-get-billing-credit-after-wireless-outage?srnd=premium