AT&T plans $1 bil global network expansion

AT&T Inc., the second-largest U.S. phone company, plans to invest about $1 billion in 2009 to build out its global network and add services for businesses.

The expansion will include new undersea fiber-optic cables to Alaska, Australia, Asia, India and Puerto Rico, Dallas-based AT&T said today in a statement. The company also will offer private networks for a corporation's internal use to 18 new countries.

With the latest investment, AT&T will have spent $3 billion since 2006 on networks and services for enterprises. The company is upgrading its networks to handle more large file downloads, such as video, as customers pare spending on voice traffic via traditional phone lines.

AT&T rose 39 cents, or 1.7 percent, to $23.58 in New York Stock Exchange composite trading on Feb. 20. The stock had dropped 33 percent in the year before today.