Verizon Communications is the first U.S. operator out of the gate in the second quarter earnings heat, reporting 1.2 million new net subscriber adds in its wireless division and 134,000 new FiOS residential broadband customers in its wireline group.
Verizon Wireless ended June with 94.2 million retail customers, 88.8 million of which subscribed to a contract plan. Of its 1.2 million new customers, 880,000 of them came from the postpaid contract side. Verizon also managed to maintain its reputation for customer loyalty, keeping its churn rate (the percentage of customers that depart each quarter) to 0.84 percent among contract subscribers and 1.11 percent among its combined prepaid a postpaid customers.
Verizon’s wireline group now has 8.8 million broadband subscribers, a 2.6 percent year-over-year increase. All of those gains, however, come from its FiOS fiber-to-the-home markets where it added 134,000 Internet and 120,000 TV customers in the quarter. In fact, FiOS is now far bigger than DSL in Verizon’s books, accounting for 5.1 million, or 58 percent, of its broadband connections.