While new 5G mid-band spectrum has increased upload and download speeds for Verizon Communications Inc. and AT&T Inc., it may be too early to tell whether either carrier can ultimately catch up to competitor T-Mobile US Inc.
Verizon has seen a notable jump in its national 5G download speeds in the weeks since it activated its spectrum in the 3.7 GHz-3.98 GHz band, a portion of the C-band that is considered essential for 5G networks due to its balance of speed and range. Verizon's national 5G download speed rose from an average of 55.7 Mbps in the six weeks before Jan. 19, when it activated its C-band spectrum and equipment, to an average of 70.6 Mbps afterward, according to a report from analytics group Opensignal Ltd.
While Verizon's 26.7% jump is impressive, the company's national speed remains well below that of T-Mobile, which notched a national 5G download speed of 182.3 Mbps as of mid-March, Opensignal reported.
AT&T lagged with national 5G download speeds that have remained below 50 Mbps, even in the weeks since its C-band spectrum was activated, according to Opensignal. Largely, this is because AT&T's mid-band rollout was initially limited to parts of eight markets across the U.S. AT&T has announced its plans for a larger mid-band 5G deployment starting later this year.
However, comparisons become more favorable when looking just at mid-band spectrum speeds.
Mid-band 5G download speeds at Verizon averaged 211.8 Mbps between Jan. 19 and March 19, according to Opensignal, just a stone's throw from T-Mobile's 225.5 Mbps. AT&T tallied an average mid-band 5G download speed of 160.0 Mbps.
"Notably, AT&T, Verizon and T-Mobile have access to different amounts of mid-band spectrum, and having more spectrum capacity makes it easier for users to see higher 5G speeds," the report stated.
T-Mobile enjoys a wide swath of 2.5 GHz spectrum through its 2020 acquisition of Sprint Corp. Thus, it had a two-year head start in mid-band deployment.
According to Opensignal, T-Mobile had deployed between 60 MHz to 80 MHz of mid-band spectrum by September 2021 and was aiming to have as much as 100 MHz of mid-band spectrum on many sites by the end of 2021. By comparison, Verizon was able to deploy 60 MHz of C-band spectrum on Jan. 19, 2022, and AT&T only had access to 40 MHz.
However, Opensignal expects Verizon and AT&T to eventually catch up.
AT&T expects a larger mid-band 5G deployment later this year, once it can deploy both its C-band spectrum along with its newly acquired 3.45-3.55 GHz spectrum at the same time.
And Verizon recently announced deals with satellite operators to clear additional C-band spectrum ahead of schedule. The agreements would allow Verizon to use an additional 60 MHz to 100 MHz of the frequencies for the expansion of its 5G Ultra Wideband service in 2022. Verizon's 5G Ultra Wideband service reached 100 million people by January 2022, and it aims to reach at least 175 million people by year-end 2022.
T-Mobile's Ultra Capacity 5G covered more than 210 million people in January, with plans to reach 260 million by end of this year.
"While it may be some time before the two carriers can challenge T-Mobile for the 5G Download Speed award — as T-Mobile has had a nearly 22-month head start with its 2.5 GHz spectrum — Opensignal data shows that Verizon and soon AT&T now have the required mid-band spectrum to start the chase," the report stated.
All told, Verizon spent $45.45 billion in the C-band spectrum auction in 2021. AT&T dished out $23.41 billion in the C-band auction and then followed that up by spending an additional $9.08 billion in the subsequent 3.45 GHz auction.
