NEW YORK (TheStreet) -- Time Warner Cable (TWC) climbed Tuesday on a report it expanded into three major cities, increasing its potential to add more customers. AT&T (T - Get Report) is potentially facing legal wrangling with CBS (CBS) as the companies' contract nears its June 30 expiration.

Time Warner Cable rose 1.5% to close at $179.07.

The cable company expanded its Wi-Fi network into Dallas, San Antonio and Raleigh, in a move to enhance its network and attract new customers, according to a report in Zacks

According to Zacks, this three-city expansion brings its Wi-Fi network to more than 100,000 Time Warner Cable hotspots. "We believe this latest expansion will further augment the company's customer base and aid it in duly meeting the ever-increasing demand for Wi-Fi connectivity," Zacks stated in its report.

AT&T fell 0.20% to finish the day at $34.52.

The telecom behemoth and CBS currently have an agreement, in which CBS receives AT&T's U-Verse programming and AT&T is able to show CBS's Showtime and its cable channels. This agreement, however, is set to expire June 30 and tension is mounting as a potential contract dispute looms, according to a report in the Wall Street Journal.

In the backdrop of the AT&T-CBS contract is the telecom carrier's pending $49 billion buyout of DirecTV (DTV - Get Report). Some industry watchers have speculated that AT&T would like to move its U-Verse TV customers over to DirecTV once its merger is competed, the Journal reported. 

The AT&T-DirecTV merger is expected to close later this month.

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.