Verizon lost 78,000 net pay-TV subscribers to Fios’s consumer video service in the first quarter, up 69,000 in the fourth quarter and 82,000 a year earlier, the telecom giant said on Friday.
The company has often been cited in the past as “the current shift from traditional linear video to redundant offerings” amid the rise of streaming services as the main driver of video subscriber growth.
Verizon, led by President and CEO Hans Westberg, reported the addition of 229,000 broadband networks in total, “the best quarter in over a decade, including the addition of 194,000 fixed wireless networks” and the addition of 35,000 broadband networks. wired broadband. Results included the addition of the 55,000 Thread Internet network to Verizon Consumer. They were “driven by record rates of decline, with additions roughly lower than in Q1 2021,” when the company added 98,000 customers. Throughout 2021, Verizon announced the addition of a 360,000 broadband network, “the best annual performance since 2014”.
The telecom giant has shifted its focus from Fios TV’s video to partnering with third-party streaming services as it positions itself as a distribution platform for them. For example, Verizon has an agreement with The Walt Disney Co. for a Disney package that gives users unlimited access to select Verizon wireless plans on Disney+, Hulu and ESPN+.
Verizon also said it lost 36,000 monthly phone subscribers in the first quarter, less than Wall Street analysts had predicted on average, possibly thanks to an investment in expanding 5G service. The telecom giant said it was “the best first quarter since 2018”.
The company sold its Verizon Media unit last year, which includes Yahoo and AOL. Friday’s quarterly report was the second since the transaction, which did not include any commercial results.
Verizon’s first-quarter revenue increased 2% to $33.6 billion, but its revenue dropped 12% to $4.7 billion.
“Our first-quarter operating performance further enhances Verizon’s long-term growth and enhances our competitiveness in mobility, national broadband, value markets, and business networking solutions and applications,” said Westberg.
Verizon also said on Friday that its full-year revenue is likely to be close to the forecast range due to low network spending and rising inflation, which could prevent customers from spending money on more expensive plans.
In an earnings call on Friday, Westberg announced earlier this week that HBO Max will become part of the Verizon + Play streaming aggregation platform, which is expected to launch later this year. Other streaming service partners include Netflix, A+E Networks and TelevisaUnivision’s Vix+. In addition, the platform will allow users to purchase and manage streaming accounts that Verizon offers to eligible users for a period of time, such as Disney+, Hulu, ESPN+, Discovery+ and AMC+.
Source: Hollywood Reporter
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
