“The networks are going to be scaled as we exit this year. And I think you're going to start to see the new application to start to pop up as a result of that.”

In context

“reality of usage going up on these networks and why it's so important to have a fixed cost structure, these are the kind of things that I think are really, really important. Because if you're in a variable dynamic and all of a sudden the new device shows up and becomes part of the family plan that drives another couple of gigabits of usage and you're paying on a variable basis, that's not going to be a comfortable place to be when the realities of the next generation of applications come in 5G. And I expect that's going to happen. You -- I know you do a lot of homework, you know what the manufacturers are working on right now. We know what the manufacturers are working on right now, and we know when they're likely to come about, they're going to come about when these networks are scaled. The networks are going to be scaled as we exit this year. And I think you're going to start to see the new application to start to pop up as a result of that. Walter Piecyk: I also just have a follow-on question on the structure of the industry. I mean cable is obviously, in many cases, giving away free phones and then just reallocating revenue from the broadband business. And they've had success, I think, in terms of subs, maybe not at higher ARPU, but how do you see AT&T positioned long term in terms of also taking advantage of a bundled approach of offering broadband and mobile on -- in more markets than where you just have your fiber? John Stankey: Well, we use the term durable wall for a reason, which is I don't want to just -- I don't want to spend empty calories for something that 18 months from now or 24 months from now, just looks like a bone acre. And I'm trying to keep the business focused on doing the things that are the hard things”