AT&T halts installation of GigaPower service in light of unclear net neutrality rules

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Andrew Harrer/Bloomberg

AT&T CEO Randall Stephenson told guests at an investor conference that the company will delay the installation of its high-speed Internet due to unclear regulations regarding net neutrality.

Danielle Abril

Staff Writer- Dallas Business Journal

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AT&T Inc. reportedly will delay installing its high-speed Internet infrastructure, called GigaPower, in 100 cities across the nation until the Federal Communication Commission's rules regarding net neutrality have been mapped out.

AT&T CEO Randall Stephenson made the announcement during a Wells Fargo & Co. investor conference in New York on Wednesday, according to Bloomberg.

"We are now starting infrastructure projects that we don't have any clarity or line of sight, in terms of what rules those will be governed under," Stephenson reportedly said, according to Bloomberg. "That can have no effect other than to cause one to pause."

The company is installing fiber-optic network connections that will have speeds up to 1 gigabit per second. In August, the company designated University Park and Highland Park as first communities in Dallas-Fort Worth to receive the upgrades. Dallas, Fort Worth and San Antonio all have the service, Bloomberg reports.

The news comes just two days after President Obama released a statement backing net neutrality, or the open Internet. In his statement, he also says that the FCC should reclassify consumer broadband service under Title II of the Telecommunications Act and withhold from rate regulation.

FCC Commissioner Ajit Pai previously told the DBJ that the agency was currently working on collecting input from the public before determining its next step. FCC Chairman Tom Wheeler has yet to set a date for the when the commission will move forward.

Danielle covers technology, retail, restaurants and hospitality for the Dallas Business Journal. Subscribe to our new TechFlash email newsletter.