AT&T has taken legal action against Charter, filing a lawsuit last Friday that accuses the cable giant of misleading consumers with how it advertises its home internet service. The dispute targets a Charter ad campaign promoting internet sold under the Spectrum brand as “fiber-powered.”
The complaint was filed in Dallas, where the two companies compete directly. According to self-reported FCC data, Spectrum covers roughly 608,000 households in Dallas, while AT&T reaches nearly 495,000.
Why the ‘Fiber-Powered’ Label Is in Dispute
Fiber is widely regarded as the top tier of home internet, largely because it is the only connection type that delivers symmetrical upload and download speeds. That balance is especially useful for activities such as online gaming and videoconferencing. On Spectrum’s cable plans, upload speeds typically peak around 40Mbps, while download speeds can exceed 1,000Mbps.
The core issue is what “fiber-powered” actually means. Technically, the phrasing holds up: like all cable providers, Spectrum relies on fiber-optic cables—thin glass strands that carry data using light signals—for most of its network. However, it typically switches to copper coaxial cables for the final stretch into a customer’s home. By contrast, a fiber provider like AT&T runs the fiber connection all the way to the jack in the wall.
Many cable companies are working to upgrade that last mile. Spectrum currently reports to the FCC that 2.3% of US households have access to its fiber plans, compared with 29.9% that can subscribe to its cable plans. A check of several Dallas addresses on Spectrum’s website did return some fiber plan options.
AT&T’s Argument and a Prior Complaint
An AT&T representative said the company believes customers should not need specialized knowledge to understand what they are purchasing. “We don’t think customers should have to be telecom experts or squint at the fine print to know what they’re buying,” the representative said in an email. “When internet is marketed as fiber, customers deserve 100% fiber all the way to their home.”
This is not the first challenge Charter has faced over its fiber messaging. In March, Spectrum agreed to revise its “fiber-powered” claims after AT&T raised the issue through the Better Business Bureau’s National Advertising Division.
As part of that resolution, Spectrum agreed to “clearly and conspicuously” disclose that its “fiber-powered internet services are not delivered to customers’ homes over a fiber-to-the-home infrastructure.” The fine print on Spectrum’s internet page currently notes that the connection to the premises is delivered via coaxial lines.
A representative for Charter did not immediately respond to a request for comment on the new lawsuit.
