AT&T’s Next Business Is Home Security

What do you do as a phone carrier that’s having trouble selling phones and subscriptions? Well, expanding through other markets is usually a good idea. AT&T has the same problem, and the company’s answer is to invest lots of money into its next business: home security and automation.

Yes, AT&T is known for selling cell phones, DSL, high speed internet, digital TV, wireless and so on. How exactly does a company with this profile turn to home security and hopes for success? The truth is others have done it too, but not as far as you’d imagine. AT&T’s next business in home security involves selling such service in its stores. The trial starts this summer for Dallas and Atlanta.

As much leader as AT&T might be in the world of telecommunications, it remains a company struggling for market share in a dog-eat-dog business. With competition as Comcast Corp and Verizon Communications, keeping your head in the game is the best option. So, it was just a matter of time before AT&T would have followed into Comcast and Verizon’s footsteps and enter the market of home automation and security field.

Glenn Lurie, AT&T executive in charge with the Digital Life project, told Reuters: “When you’re a company like AT&T…you look at opportunities that are billion-dollar opportunities”. And Digital Life is perceived as a “significant opportunity”.

AT&T expects its new business in home security to bring about $1 billion to its annual revenue, a figure that looks good enough to cover the loss in the phone market. Although analysts think the market of home security is still growing, customers aren’t known to simply switch over to a new security company. It’s hard enough to convince customers buy your phones and monthly subscriptions.

The company is making a huge bet, but going all in the Digital Life service might be a good idea. Digital Life is what AT&T has worked on and it might be a solution for people leaving their homes regularly on trips and so on. All this home security service needs to work is an Internet connection. Thus, whenever something’s up at your place, the service will inform you, whether it’s a water leak or a robbery.

Previous ArticleNext Article
Eli Wads is one of our expert authors in technology and business fields.Currently living in San Marino, Eli has graduated at Southwestern Academy with a Bachelor Degree in business in 2008. Contact him by dropping him an e-mail at

1 Comment

  1. ATT&T expects this business to bring in $1B? When? They seem to be getting to market AFTER all of their competitors. One thing they are doing right is building (or in this case, buying) the technology. Last year they acquired Xanboo, great play. Verizon and the Cable Companies I believe work with the same tech vendors. Companies like,, who have built software and home security and automation technology stand to be in good position like Xanboo in a world of scarcity and competition.

Leave a Reply