Mobile

Verizon’s new wireless subscribers trail AT&T in third quarter

Enterprise companies tackle mobile marketing automation slightly differently—and that's why they're on top. Register today for this free VB Insight webinar with AEG's VP of Social and Marketing on May 28th.

Verizon guy with crowdEven though Verizon performed better than expected in its third quarter, it still lost out to AT&T in contract subscriber gains.

In its third quarter 2010 earnings report today, the company announced that it added 997,000 net customers — a number that includes 584,000 contract (or postpaid) customers. AT&T, in comparison, added a total of 2.6 million new subscribers with 745,000 new contract users. Verizon’s wireless churn rate, or the rate at which users left the carrier, was low at 1.07 percent (AT&T’s was slightly higher at 1.32 percent).

Verizon reported $2.92 billion in net income for the quarter with $26.5 billion in revenue, down 2.9 percent from $27.3 billion in revenue last year. Despite the drop, the company still performed better than the $26.3 billion in revenue that analysts expected.

Verizon Wireless remains the largest carrier in the U.S. with 93.2 million customers at the end of the quarter, compared to AT&T’s 92.8 million users. Wireless service revenue was up 5 percent at $13.5 billion, and data revenue rose 22.8 percent to $4.8 billion.

The company’s fiber technology services continued to grow with 204,000 new FiOS TV customers, and 226,000 FiOS Internet subscribers. It had a total of 3.9 million FiOS Internet customers and 3.3 million FiOS TV users.