Comcast Extends Cheap Broadband to the Poor, Free Wi-Fi for Everyone

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By Trey Thoelcke Published
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The New York Times reported Tuesday that cable and Internet provider Comcast Corp. (NASDAQ: CMCSA) will indefinitely extend its program that offers low-cost broadband service and computers to poor families, and that it will provide $1 million in neighborhood grants to support digital literacy.

As part of its 2011 takeover of NBC Universal, Comcast agreed to a three-year commitment to its Internet Essentials program, which offers $9.95 a month broadband service in poor neighborhoods and offers Internet-ready computers to eligible families for $150. Some 300,000 families have signed up for home Internet service, and more than 23,000 of the computers have been purchased.

In addition, the Chicago Tribune reported Wednesday that Comcast has begun to turn hundreds of thousands of Chicago-area homes it open Wi-Fi hot spots. The initiative rolls out during the next several months, and it uses already existing Comcast equipment to send a Wi-Fi signal that is separate from the subscriber’s signal. The open Wi-Fi signal does not affect the speed or the privacy of the homeowner’s access.

Ever since wireless operators began charging for data consumption, demand for inexpensive or free Wi-Fi access as grown huge. Comcast began its Wi-Fi initiative in its home city of Philadelphia more than three years ago, and it may be on its way to creating a national Wi-Fi network.

Meanwhile, Comcast will soon ask federal regulators to approve its proposed takeover of Time Warner Cable Inc. (NYSE: TWC). If it gets the OK, Comcast would have access to about one-third of all cable and Internet subscribers nationwide. In the New York Times article, a spokesperson denied that Comcast was attempting to gain political allies to help it close the deal.

Photo of Trey Thoelcke
About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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