AT&T U-Verse TV Expanding to New Markets, Experiencing Rapid Subscriber Growth

AT&T U-Verse TV Expanding to New Markets, Experiencing Rapid Subscriber Growth

Video Service Has Approximately 18,000 Subscribers

Will Launch in Los Angeles Area in Coming Weeks With New Markets Following

SAN ANTONIO, April 18 /PRNewswire-FirstCall/ -- AT&T Inc. (NYSE:T) announced today that deployment and sales of the innovative IP-based television service, AT&T U-verse(SM) TV, are accelerating, reflecting strong momentum in the company's overall video strategy. The company plans to launch AT&T U-verse in the Los Angeles area in the coming weeks. Additional launches are planned for later this year and next.

AT&T U-verse TV has grown rapidly since January, with approximately 18,000 U-verse television and Internet subscribers currently in service. AT&T's average installation rate has ramped to approximately 2,000 installations a week -- five times greater than its average rate in January.

In the first three months of 2007, AT&T launched U-verse services in new markets, including Milwaukee, Kansas City, and Dallas-Fort Worth. Earlier this month, AT&T announced that U-verse services were available to more than 200,000 households in the Dallas-Fort Worth area, less than one month after introducing service in that market.

"Our video strategy is showing strong momentum as we add new subscribers at an increasing rate," said Ralph de la Vega, group president-Regional Wireline Operations, AT&T. "Consumers are clearly hungry for an alternative to the cable companies, and AT&T U-verse is a very attractive choice. We offer more High Definition channels than local cable companies in the markets we serve, the ability to record up to four programs at once, and the ability to set DVR recordings remotely using the AT&T Yahoo!(R) portal or, soon, a mobile device."

AT&T Satellite Services Offer Additional Entertainment Choices

Sales are gaining momentum across AT&T's video portfolio. Following a strong fourth-quarter 2006 in which AT&T added 111,000 bundled satellite television users, the company added a record number of users in the first quarter of 2007. Including U-verse and satellite customers, AT&T added more than 180,000 video users in the most recent quarter, which is more than the four largest reporting cable companies combined added for the full year in 2006.*

AT&T offers satellite service across its 22-state local service area through relationships with satellite broadcast providers. Satellite customers in AT&T's traditional 13-state local service area include subscribers to AT&T Homezone(SM) service. The innovative service integrates AT&T Yahoo!(R) High Speed Internet and AT&T | DISH Network satellite services.

AT&T Promotes Three-Screen and HD Content

As part of AT&T's initiative to market video services to customers, the company offers innovative features to connect the three screens consumers value the most -- the PC, the TV and the wireless device. For example, AT&T Homezone subscribers can program their DVR via the Internet and their wireless phones, and this capability soon will be extended to AT&T U-verse customers. AT&T also recently launched AT&T U-verse OnTheGo, a premium service that allows AT&T U-verse customers to view live television on a PC using any broadband Internet connection.

Adding to the value of AT&T's bundled video portfolio, the company is a leader in offering content in High Definition (HD). AT&T U-verse TV offers subscribers access to more than 25 HD channels - more than cable providers offer in markets where AT&T U-verse is currently offered. AT&T also recently announced that qualifying new subscribers can enjoy access to HD TV programming free for one year. This offer is available for a limited time to new subscribers of AT&T satellite and U-verse offerings.

For the complete array of AT&T offerings, visit http://www.att.com/

*The four largest reporting cable companies are Cablevision, Time Warner, Comcast and Charter. Cox Communications does not publicly report subscribers.

This AT&T news release and other announcements are available as part of an RSS feed at http://www.att.com/rss.

Cautionary Language Concerning Forward-Looking Statements

Information set forth in this press release contains forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. A discussion of factors that may affect future results is contained in AT&T's filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update and revise statements contained in this document based on new information or otherwise.

For more information, visit the company's Web site at http://www.att.com/investor.relations.

About AT&T

AT&T Inc. is a premier communications holding company. Its subsidiaries and affiliates, AT&T operating companies, are the providers of AT&T services in the United States and around the world. Among their offerings are the world's most advanced IP-based business communications services and the nation's leading wireless, high speed Internet access and voice services. In domestic markets, AT&T is known for the directory publishing and advertising sales leadership of its Yellow Pages and YELLOWPAGES.COM organizations, and the AT&T brand is licensed to innovators in such fields as communications equipment. As part of its three-screen integration strategy, AT&T is expanding its TV entertainment offerings. Additional information about AT&T Inc. and the products and services provided by AT&T subsidiaries and affiliates is available at http://www.att.com/.

For more information and detailed disclaimer information, please review this announcement in the AT&T newsroom at http://www.att.com/newsroom.

(C) 2007 AT&T Knowledge Ventures. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Knowledge Ventures. For more information, please review this announcement in the AT&T newsroom at http://www.att.com/newsroom.

First Call Analyst:
FCMN Contact: rolf.gatlin@fleishman.com

Source: AT&T Inc.

CONTACT: Wes Warnock of AT&T Inc., +1-210-351-2858, wes.warnock@att.com

Web site:

http://www.att.com/

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