AT&T sued Comcast on Friday, accusing the rival provider of misleading consumers by marketing its Xfinity home internet as “fiber-powered” even though the final connection relies on copper wire, Courthouse News Service reported.
The complaint, filed in the Northern District of California, targets Comcast’s hybrid fiber-coaxial network architecture. While fiber optic cables carry data through much of the infrastructure, the critical last-mile drop to the customer’s premises uses coaxial copper cable rather than a 100% fiber-to-the-home setup.
AT&T argues that the “Fiber-Powered” branding creates a false impression by conflating hybrid copper-based connections with pure fiber networks. “The campaign deceives consumers, distorts competition, and appropriates the goodwill that AT&T's 100% fiber network has earned,” AT&T writes in the lawsuit asserting that these marketing campaigns deceive customers, distort market competition, and misappropriate the goodwill earned by AT&T's own fiber infrastructure.
According to the court filing, Comcast advertisements feature fine-print disclosures stating that Xfinity Internet is powered by fiber and connected to premises by coaxial cable. AT&T contends these notices are intentionally obscure and fail to educate consumers about the technical distinction.
Customer acquisition and retention drive major investments in telecommunications infrastructure. AT&T said that it has invested substantial resources into developing a 100% fiber network while Comcast’s comparable deployment has lagged behind.
“We don’t think customers should have to be telecom experts or squint at the fine print to know what they’re buying. You wouldn’t call a half-gallon a gallon or a half-truth the whole truth. And a disclaimer doesn’t turn copper into fiber. When internet is marketed as fiber, customers deserve 100% fiber all the way to their home, an AT&T spokesperson told Courthouse News.”
Represented by Dallas-based law firm Reese Marketos, AT&T brings claims of false advertising and unfair business practices. The lawsuit asks the court to award damages and issue an injunction prohibiting Comcast from describing its hybrid fiber-coaxial service using the “Fiber-Powered” label.
A representative for Comcast did not immediately respond to a request for comment on Friday, according to Courthouse News Service.