Updated
Updated · Bloomberg · Sep 9
Comcast Shares Slide as CFO Flags $30-$40 Gigabit Pricing
Updated
Updated · Bloomberg · Sep 9

Comcast Shares Slide as CFO Flags $30-$40 Gigabit Pricing

1 articles · Updated · Bloomberg · Sep 9

Summary

  • $30-to-$40 monthly gigabit broadband offers from rivals pushed Comcast shares lower after CFO Jason Armstrong said subscriber losses show no improvement this quarter.
  • Armstrong said competitors are selling 1-gigabit-per-second service at prices he called irrational, making it difficult for Comcast to demonstrate a return on investment.
  • The comments point to continued pressure in Comcast's core broadband business as aggressive discounting keeps luring customers away.

Insights

As rivals slash gigabit internet prices to $30, is Comcast's refusal to engage in a price war a fatal mistake or genius strategy?
Will Comcast's upcoming structural split rescue its sinking stock, or simply divide a struggling empire into two weaker halves?