Verizon loses 86,000 video subscriptions in Q2, adds broadband customers –

Verizon lost 86,000 net pay-TV subscribers to its consumer video service Fios in the second quarter, compared with losses of 78,000 in the first quarter and 62,000 in the same period a year earlier, the telecom giant said on Friday.

In the past, the company has consistently cited the “continuous shift from traditional linear video to hype offerings” amid the growth of streaming services as the main driver of video subscriber decline. June ended with more than 3.4 million Fios Pay TV customers.

Verizon, led by President and CEO Hans Westberg, has recorded 268,000 total broadband network additions, including 36,000 wired Internet network additions at Verizon Consumer, with more than 6.6 million wires and more than 7.3 million wires. broadband subscribers at the end of June. “Total broadband additions increased by 39,000 compared to Q1 2022,” the company noted.

The telecom giant has shifted its focus from Fios TV’s video to partnering with third-party streaming services as it positions itself as an important distribution platform for them. For example, Verizon has an agreement with The Walt Disney Co. for the Disney package, which gives customers on select Verizon wireless plans unlimited access to Disney+, Hulu and ESPN+.

Last year, the company sold its Verizon Media unit, which includes Yahoo and AOL. Friday’s quarterly earnings report was the third after the deal, which does not include any trading results.

Verizon’s second-quarter revenue was little changed at $33.8 billion, but its revenue was down 10.7% to $5.3 billion.

“As a market leader in a highly competitive industry, we are determined to improve our operational and financial performance in the second half of the year,” said Westberg. “With our network-as-a-service foundation, our new customer mobility plans and recent pricing actions, we are making a deliberate decision to enhance our opportunities for profitable growth today and in the future.”