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AT&T Says It Continued to Grow Despite Giving Promotions the Boot

A second carrier warns that there will be fewer wireless deals in the future.

AT&T ended the year with more phone and internet subscribers, according to results from the last fiscal quarter.

The Dallas telecom company reported its earnings on Wednesday, noting 656,000 postpaid net phone additions in the fourth quarter, a metric used by the industry as shorthand for success and dependable revenue. AT&T said it gained customers even though it had less generous phone promotions and deals than its competitors.

Despite inflation and worries surrounding a recession, AT&T CEO John Stankey was cautiously optimistic about the company’s forecast for the year.

«The good news is, I think we’re through the worst of it,» Stankey said on a conference call, though he noted that geopolitical disruption could be a swing factor changing the carrier’s 2023 outlook.

The results come at a time when wireless carriers are tightening their belts through layoffs and pulling back on the kind of promotions and freebies they once offered to lure in new customers. On Tuesday, Verizon also said it was moving away from aggressive promotions even if meant short-term losses. Consumers can expect to see fewer wireless deals going forward.

AT&T also ended the year by surpassing its goal of covering 130 million people with its midband 5G, with the telecom company hitting the 150 million mark. Midband spectrum runs on a frequency of 5G that brings wider coverage and higher speeds to more places. The spectrum was mostly in its C-band frequency range, which AT&T paid $27 billion to acquire in 2021 and started rolling out last year. AT&T wasn’t clear about whether this number includes the 3.45 GHz frequencies of 5G midband that the carrier paid $9.1 billion to acquire a year ago. The carrier set a new target to cover 200 million people with midband 5G by the end of 2023.

AT&T lost 13,000 net prepaid phone subscribers in the last quarter, including customers for AT&T’s Cricket brand that rivals T-Mobile’s Metro and Verizon’s new Total affordable prepaid offerings.

The carrier posted 280,000 broadband fiber net additions, noting that its fiber customers now outnumber customers with older DSL and other internet services. AT&T touched on its Gigapower fiber joint venture with private equity company BlackRock Alternatives, announced just before the end of 2022, which Stankey likened to an opportunity in the early race for wireless phone service. The venture aims to harness government subsidies to deploy multi-gig fiber in new areas to reach 1.5 million customers.

«The possibility to help close the digital divide and focus on access to affordable high-speed internet is a top priority of AT&T,» Stankey said.

The carrier acknowledged that it will have a new offering this year for fixed wireless, an internet frontier that AT&T effectively ceded to Verizon and T-Mobile in the early days of 5G. In the past, AT&T has confirmed it won’t expand into fixed wireless except on rare occasions to meet specific business needs. So long as fixed wireless delivers less bandwidth than fiber, AT&T isn’t excited about it as an alternative to wired broadband, Stankey said, noting any deployment would have a narrow niche where fiber can’t easily reach.

«I don’t see [fixed wireless] place long-term in dense metropolitan areas, and I don’t see it in reasonably well-populated suburban areas,» Stankey said.

AT&T reported revenues of $31.3 billion, which is around the revenue for the same period last year and slightly under the $31.39 billion expected. The carrier reported 61 cents of adjusted earnings per share, which was better than the 57 cents earned per share expected by analysts polled by Yahoo Finance.

At the start of the new year, AT&T expects wireless revenue growth of 4% and broadband revenue growth of 5% through 2023. The carrier noted it expects to spend around the same for capital expenditures this year, which hit a record $24 billion in 2022 due to expanding midband 5G and fiber rollouts.

AT&T’s stock was up a tenth of a percent to $19.18 in after-hours trading.

Technologies

I’m Dying to Touch the New iPhone Air, and I Bet You Are, Too

Commentary: «Is that the new iPhone?» The iPhone Air’s ultra-thin design will make you the envy of all.

Even if you’re an Android user, you know very well what a standard iPhone looks like. Sure, there are slight variations but for the past few generations, Apple hasn’t exactly done anything radical to the design of its phones — so much so that most people wouldn’t necessarily be able to tell whether you have the latest version of its flagship or not.

But at Tuesday’s Apple event, which brought us the iPhone 17 lineup along with the AirPods Pro 3 and the Apple Watch 11, the company has shaken things up. 

The long-rumored iPhone Air is real and it’s not just shockingly thin, but shiny too, making it a real target for the magpies among us. I don’t know about you, but my first thought when I clapped eyes on the new device was, «I want to touch it.» I’ve been writing about iPhones for more than a decade and I can’t remember the last time that was the case.

For most of its length, the Air is just 5.6mm thick. This tantalizingly svelte profile is only further enhanced by the gloss-mirror finish. If you’re among the first to get your hands on this phone, you can guarantee it will draw the eye of everyone in your vicinity, in a way that tends not to happen with tech in 2025.

It hasn’t always been this way. When I was growing up I often couldn’t afford the most advanced or expensive phone — so instead I’d search out the weirdos. Some favorites included the navy blue Sony Ericsson Z200, which had a little circular orange screen on the front, as well as the teeny tiny Sagem MW 3020. These phones were conversation starters — often when I whipped them out of the inside pocket of my school jacket, it was the first time people had ever seen them.

Unless you have a foldable phone, that’s a rare occurrence these days. But I predict the iPhone Air is likely to be a real scene stealer — at least at first. Be warned that people are going to want to hold it, touch it and pretend jokingly to bend it or drop it, so keep it in your pocket if you’re precious about others laying their grubby paws on your tech. If you do unveil it in front of your friends, though, you are likely to be the envy of them all.

«It has been a few years since Apple has had new iPhones that you could put on the table in a coffee shop, meeting room or pub, and people would ask, ‘Is that the new iPhone?'» says Ben Wood, chief analyst at CCS Insight. He adds that the iPhone Air «feels differentiated enough that people would consider visiting a store to see it in person.» 

These looky-loos will be great for Apple and other phone retailers, even if people don’t end up buying an Air, Wood says. Every time someone walks through the Apple Store door it’s an opportunity to sell them an accessory or an upgrade, so the ripple effect of increased foot traffic inspired by the Air could be felt across Apple’s portfolio. «This is very valuable at a time when people are holding onto their smartphones for longer than ever,» he says.

The iPhone Air isn’t necessarily the new iPhone that will be at the top of everyone’s wish list, but it’s perhaps the one that’s likely to carry the most social cachet for the next year — until of course Apple unveils the long-awaited foldable iPhone, which will no doubt cast this year’s triumph of minimalist design and engineering into the shade.

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Technologies

Apple Unveils Its Super-Slim iPhone Air, at Just 5.6mm Thick

A titanium frame helps to keep the phone lightweight and durable at 165 grams. It starts at $999.

Apple on Tuesday unveiled its highly anticipated iPhone Air, which starts at $999 (£999, AU$1,799). The company debuted the 5.6mm-thick phone at its fall keynote at Apple Park in Cupertino, California. It has a titanium frame for a durable, lightweight build, clocking in at 165 grams. The company’s Ceramic Shield covers the front and back.

The Air has a big 6.5-inch display. Like the baseline iPhone 17, it has a 120Hz variable refresh rate, meaning it supports an always-on display, so you can see your notifications without waking the screen. It also has 3,000 nits peak brightness. 

The phone packs an A19 Pro chip. It also has Apple’s N1 chip for Wi-Fi 7 and Bluetooth 6, as well as a faster and more efficient version of its in-house 5G modem, the C1X, which is an update to the C1 modem it debuted on the iPhone 16E earlier this year.

Apple on Tuesday called the Air the «most power-efficient iPhone we have ever made,» and says it has all-day battery life — though you can buy a MagSafe battery that Apple is already touting to extend that life. Adaptive Power in iOS 26 can also help conserve battery life by automatically adjusting your iPhone’s performance based on how you’re using it at that moment, according to Apple.

On the back, the iPhone Air has a 48-megapixel fusion camera, which also allows for 2x telephoto pictures. On the front, you’ll find Apple’s new 18-megapixel Center Stage selfie camera that works in both a landscape and portrait orientation. 

Preorders for the iPhone Air and the entire iPhone 17 lineup begin on Friday, with the new device hitting stores the following Friday, Sept. 19.

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Technologies

A Star Wars AR Game Got Me Playing With Virtual Action Figures Like I Was 6 Years Old

It’s not every day that an AR game has me reliving childhood, but the upcoming Star Wars: Beyond Victory is a nostalgic experience.

It took less than a minute after donning a Meta Quest 3 headset before I was reliving some of my best memories from childhood in augmented reality, sitting on the floor with my digital Star Wars action figures creating fantastical scenes from a galaxy far, far away.

Last week, I visited Meta’s Los Angeles offices a mile from the city’s sunny beaches to try out an upcoming game, Star Wars: Beyond Victory, due out October 7 only for the Meta Quest 3 and Meta Quest 3S headsets. The game is developed by Industrial Light and Magic, the special effects wizards that brought the Star Wars galaxy to life with starships and lasers, lightsabers and space battles. 

Star Wars: Beyond Victory was first revealed at Star Wars Celebration earlier this year, where ILM teased the game’s central story mode. In it, players take on the role of an up-and-coming podracer guided by the legendary Sebulba, racing rival of Anakin Skywalker in Episode I: The Phantom Menace. In Meta’s offices, I donned a Meta Quest 3 headset and played an early section of the story, including a podrace.

While I was expecting immersive full-screen podracing much like in the Nintendo 64 classic game Episode 1: Racer, Star Wars: Beyond Victory is very different, leaning into the Meta Quest’s augmented reality capabilities to portray racing on, functionally, a digital game table hovering above the real world room I was in. ILM’s developers told me that given concerns over making players nauseous when racing in high-speed VR, they opted to make the game’s action play out on a table in AR that gamers can resize to their liking, while still controlling their racer from a bird’s eye view. 

«The original podracing prototypes were based on slot car races because that was like thinking about racing cars in your room,» said David Palumbo, senior experience designer at ILM and for Star Wars: Beyond Victory. «Eventually we hit on that holo-table prototype, and that sort of shifted the way we thought about mixed reality gameplay in a really fun way.»

In my four-person race I finished a distant third, but there’s a delightful novelty in reaching out with my Meta Quest controllers and — this will be important later — digitally grabbing the gameplay board to move it around or resize it to my liking. It felt tactile and responsive, letting me place it in the perfect spot to survey the action as I stood up. The ILM developers described their different approaches: one placed it before them while they were sitting, while another got down on the ground to play, much like they did with toy cars as a kid.

«I also think it plays really well with the nostalgia of what we’re doing with action figures and playing with these little toys,» said Harvey Whitney, senior producer at ILM and for Star Wars: Beyond Victory. «I remember as a kid every Christmas either getting a slot car or RC car, and so now being able to do that with Star Wars toys and flying them around and driving around, it just works so well.»

I only spent around 20 minutes with the Adventure mode, so it’s impossible to comment on how the storyline or podracing gameplay will be in its full release, though it does have an interesting voice cast including Lewis MacLeod (returning to voice Sebulba as he did in The Phantom Menace) and Saturday Night Live’s Bobby Moynihan. Set in the period between the third and fourth Star Wars movies with the Galactic Empire in power but before the Rebel Alliance gets organized, Beyond Victory will tell a story about racing life on the fringes of the galaxy — an aspect of the franchise that’s surprisingly rarely explored given how important hot-rodding was to creator George Lucas and how much it influenced the original films.

Throughout Beyond Victory’s story mode, your podracing rookie will run into some characters from ILM’s previous AR game, Star Wars: Tales From The Galaxy’s Edge, along with a few iconic figures from the movies. But you won’t just be meeting them: many of the cast in the Adventure mode can be unlocked to play with in the Playset mode, which is where I spent most of my time in my preview assembling my own Star Wars scene, bringing my childhood play to the augmented reality future.

Star Wars: Beyond Victory is for reliving your childhood

Adventure mode plays through a story with cinematics and climactic races, while Arcade mode allows you to play quick podracing matches, including taking your story rivals’ speedsters for a spin. The aptly named Playset mode lets players make their own dioramas using the characters, scene elements and special effects from Adventure and Arcade.

I clicked on Playset mode from the game’s menu…and immediately felt like I’d popped open a toybox. I used my Meta Quest controllers to sort through an in-game menu and pluck out aliens, droids, vehicles and objects to populate my scene. While I couldn’t physically pick them up, using the grabber functionality on my controllers (which looked like a pair of robot claw arms) was very intuitive. I carefully hovered over specific parts of each character, tweaking limbs and joints to pose them just so. 

Regrettably, I wasn’t allowed to take photos of my creation, which was less a film-accurate recreation and more a hodgepodge of oddball characters scattered around a metal causeway — exactly how it felt to upend my toy chest and cobble together a scene from whatever random action figures I had on hand. I sat bounty hunters and podracers around a table, lorded over by a giant slug-like Hutt walking on spider legs (Graccus, a crime boss from Adventure mode) and stood C-3PO up on the side wielding a lightsaber, because why not. 

While I couldn’t physically touch everything, there are several advantages to the digital nature of augmented reality. I could grab a character and make them bigger to more precisely move their limbs around and then shrink them back to the size I wanted (or leave them huge, Attack of the 50-Foot Woman-style). There were also digital effects to add, like explosions, smoke and laser bolts. It was while angling one of the Empire’s iconic TIE Fighter vehicles up above my diorama and placing green laser blasts as if they’d just been shot from the fighter that I felt a sort of technical glee from staging a scene — a frozen moment of tension and adventure that felt, well, Star Wars.

Playset mode and the «action figure»-esque technology behind it are inspired by a pre-visulization tool ILM built for filmmakers to stage their own scenes, albeit one far more technically complex that’s full of «menus within menus,» as Palumbo described it. The game’s developers made Beyond Victory’s version far more simplified for gamers, he continued, citing a mantra I heard repeated multiple times during my preview:  «The main driving philosophical difference was toys, not tools.» 

Palumbo has been working in virtual reality since the Oculus Rift’s second developer kit was released back in 2014 and emphasized how much playtesting went into developing Beyond Victory. He called out the game’s accessibility options like having both seated and standing modes to play as well as completely mirrored controls for players to be able to use either hand. It should be no surprise that ILM is filled with Star Wars fans who offered feedback on how things should feel in the game, with Whitney shouting out quality assurance manager Marissa Martinez-Hoadley’s specific corrections about how things like a lightsaber should feel and operate.

That attention to detail has been what’s made Star Wars toys the implements of magic for decades of kids (and kids at heart). Beyond Victory brings that joy to augmented reality with some novel perks using its visualization tech: during my preview upon the ILM developer’s suggestion, I took the lightsaber out of my toy-sized C-3PO’s hands and scaled it up fill my hand. With the press of a button, I ignited the lightsaber and waved it around, looking and sounding straight from the films — digital, perhaps, but real enough to thrill the kid inside me.

Star Wars: Beyond Victory will be released on Oct. 7 exclusively for the Meta Quest 3 and Meta Quest 3S.

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