Comcast has attached a new service to its Xfinity internet plans as it faces mounting customer losses.
The company revealed in its most recent earnings report that it lost 167,000 U.S. broadband customers in the second quarter of this year. Also, its revenue in this segment dropped by 5.5% year over year.
The exodus of customers follows last year’s Xfinity price increases. It also comes as Comcast faces heightened broadband competition from T-Mobile, AT&T and Verizon, which have been attracting customers through fiber and fixed wireless internet services. SpaceX’s Starlink satellite internet service is also becoming a threat, with over 9 million customers.
“Fiber continues to expand, fixed wireless remains aggressive, satellite is emerging as another alternative and convergence-based promotional activity remains elevated across the industry,” said Comcast Chief Financial Officer Jason Armstrong on an earnings call in July. “We are operating under the assumption that the market will remain intensely competitive.”
Comcast adds new security service to internet plans
To help attract and retain internet customers, Comcast has launched its new Xfinity Shield platform, which offers two new tiers of advanced cybersecurity and home self-monitoring protection that can be added to internet plans, according to a recent press release.
Comcast said that Xfinity Shield is “a first-of-its-kind platform for intelligent home protection” that uses artificial intelligence and Xfinity Gateway technology to “transform WiFi into an always-on layer of cybersecurity, physical and family protection.”
The platform introduces a tier called WiFi Shield, which is a free service for internet customers. It adds three layers of Wi-Fi protection: Xfinity CyberSecure, WiFi Motion and Family Settings.
Related: Comcast hopes generous offers will slow internet customer losses
Xfinity CyberSecure is a cybersecurity solution that automatically protects devices from hackers, malware and phishing attempts by continuously assessing threats on the home network.
WiFi Motion detects movement inside the home without using cameras or traditional motion detectors. Instead, it uses “Xfinity Gateway intelligence” to monitor changes in the home’s radio-frequency signal between the Xfinity Gateway and a Wi-Fi-connected device.
Customers receive instant notifications through the Xfinity app when unexpected activity is detected.
The third protection layer of WiFi Shield is Family Settings, which is accessible in the Xfinity app. It allows families to create profiles and organize devices by person, which grants them the ability to “manage screen time, set device limits, pause WiFi and build schedules.”
Comcast introduces Shield Select for additional home security
The second tier in Comcast’s new Xfinity Shield platform is Shield Select. The company said this service “combines all the benefits of WiFi Shield with integrated hardware and enhanced capabilities.”
It offers an AI-powered indoor camera with smart motion detection. It also includes a door/window sensor, cloud video storage capabilities and 24/7 urgent response that allows customers to quickly contact emergency help.
Shield Select costs $15 a month, and customers can add it to their internet plans through the Xfinity app.
“Xfinity Shield represents our vision for the next era of the intelligent home,” said Jon Gieselman, chief growth officer of connectivity and platforms at Comcast, in the press release.
“We believe the network should do more than connect devices,” he continued. “It should help protect the people, their personal information, and everything within their homes that depend on our most reliable WiFi every day. That’s the vision behind Shield: advancing the role of WiFi to both connect and protect the home.”
Comcast settles lawsuit over security breach impacting customers
The launch of Comcast’s new Xfinity Shield platform comes after it recently agreed to pay $117.5 million to settle a class-action lawsuit related to a cybersecurity breach that impacted millions of current and former Xfinity internet customers.
The breach, which happened in October 2023, exposed customers’ personal information such as usernames, passwords, contact information, the last four digits of Social Security numbers and dates of birth, according to a notice Comcast sent to affected Xfinity customers.
The lawsuit alleges Comcast “did not adequately protect personal data, had inadequate security measures, violated various laws, and failed to properly notify affected customers.”
More Telecom News:
- T-Mobile warns customers that a key service will double in price
- Verizon adds generous offers for customers after price increase
- Spectrum suffers heavy loss as customers ditch service
The company’s decision to provide additional security protections to internet customers comes as cybersecurity attacks are on the rise.
According to a recent white paper from Parks Associates and Plume, U.S. internet households face between 36 and 86 blocked security threats per month on average, with botnet attacks increasing 89% year over year.
Also, a survey from the report revealed that 62% of smart home device owners find AI-powered cybersecurity monitoring “appealing,” while 27% are willing to pay for it at a “tested price point.”
“Broadband competition is shifting beyond speed,” said Tam Williams, contributing analyst at Parks Associates, in a press release. “The providers that deliver the most reliable, secure and personalized connected home experience will be best positioned to retain subscribers and attract new customers as AI becomes an integral part of everyday digital life.”
Related: Spectrum makes significant decision as customer losses mount
