|By Marketwired .||
|February 6, 2013 08:20 AM EST||
NEW YORK, NY -- (Marketwire) -- 02/06/13 -- A recently proposal from the Federal Communications Commission to provide the U.S. public free access to WiFi could become a major obstacle for the $178 billion wireless industry. "For a casual user of the Web, perhaps this could replace carrier service," said Medley Global Advisors analyst, Jeffrey Silva. "Because it is more plentiful and there is no price tag, it could have a real appeal to some people." Five Star Equities examines the outlook for companies in the Telecom Industry and provides equity research on Frontier Communications Corp. (NASDAQ: FTR) and Windstream Corp. (NASDAQ: WIN).
The Washington Post has recently reported that the FCC has proposed the idea of creating super WiFi networks around the U.S., which would allow the public to make cellphone calls or surf the Internet free of charge. The FCC's plan has been in discussion for years but gained traction after endorsements from Google and Microsoft. The companies believe that easy access to free public WiFi would spur "millions of devices that will compose the coming Internet of things". If approved, it would still take several years before the FCC's proposal would be in full effect.
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At September 30, 2012, Frontier had approximately 2,932,200 residential customers and 291,400 business customers. During the third quarter the company saw a 1.9 percent sequential increase in average monthly customer revenue. Frontier is scheduled to release its results for the fourth quarter on Thursday, February 21st.
Windstream has more than $6 billion in annual revenues and is listed on the S&P 500 index. The company reported total revenues and sales of $1.55 billion in the third quarter. The $15 million increase when compared to the second quarter of 2012 was the largest sequential increase to date. Windstream is scheduled to release its results for the fourth quarter of 2012 on Tuesday, February 19th.
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