AT&T is launching a nationwide home security and automation service this summer, piggybacking on efforts by its ISP brethren to sell new revenue-generating broadband services. But there’s a twist. AT&T isn’t requiring subscribers to use its wireless broadband network. Instead, customers can access the AT&T Digital Life applications using any wireless carrier’s service.
The AT&T approach is similar to Verizon’s, but it’s very different from how many of the cable companies are introducing security services. It also makes me wonder what other services the telcos could start offering without requiring a bundled broadband subscription. Verizon hinted in 2011 at offering FiOS TV as an app, and now that the company is de-emphasizing its wireline business (a mistake, in my opinion), perhaps a nationwide TV service that doesn’t rely on Verizon’s network isn’t the absurd notion it once was.
In contrast, the cablecos are growing more and more attached to bundled offerings. There are several reasons for this. First, bundling applications with underlying broadband service gives the cablecos an opportunity to jump into higher margin businesses. And second, by controlling the applications that run on their networks, cable operators can make those services more network-efficient. Service providers that don’t own the networks they use have little incentive to curb bandwidth demand, particularly when they make more money off of higher usage.
Circling back to AT&T, if you’re in the market for a home security service, the telco promises its new Digital Life offering will include cameras, door locks, thermostats, appliance power controls, and sensors for detecting smoke, carbon monoxide, motion, glass breaking and moisture. Trials for the service will begin in Dallas at Atlanta this summer. No word yet on price
Pretty slick move. Almost as good as them getting me to use my Comcast cable modem as the node for wireless in my house via their microcell. I could see all these issues converting as a net neutrality problem real quick.