Verizon Is Losing Huge Number Of Customers Before It Launched Unlimited Data Plan
Verizon Wireless abandoned its opponent and rolled out an unlimited data plan that was more expensive than plans from Sprint and T-Mobile. However, before that unlimited plan promo, Verizon lost an approximately 400,000 regular monthly phone customers. The question now is, "What is the reason behind this loss of customers and the unlimited data plan?"
Weeks after the launch of Verizon's unlimited data plan, the telephone and television service provider stopped losing customers and actually gained a total of 109,000 subscribers. It actually brings the net loss of customers in the first quarter of 2017 to 289,000, as reported by BGR. It is a good news for Verizon since as reported earlier before the unlimited plan promo, the company is losing a huge number of customers.
In the first two months of 2017, Verizon Wireless reportedly lost a total of 398,000 retail postpaid phone subscribers. Verizon still ended up losing regular customers for the quarter ending last month, as of today's report. However, thanks to the unlimited plan because they gain more than what is expected. "The launch of Verizon Unlimited positively changed the trajectory of customer additions in the quarter," the company said.
According to ArsTechnica, Verizon has 113.9 million retail wireless phone connections, with postpaid smartphone plans taking up the big part of that. Even if Verizon still has the most wireless subscribers in the US, compared to its competitors, T-Mobile USA has gained millions of consumers over the past few years with an approach of offering better deals.
Verizon's total turning revenues, including all the recorded wireline services, were $29.8 billion in the first quarter. It went down to 7.3 percent year over year and net income was $3.6 billion, down to 19.8 percent. Verizon 35,000 Internet subscribers while lost 13,000 video subscribers in the same quarter. At the end of first-quarter 2017, the company had 5.7 million FiOS (Fiber Optic Service) Internet connections and 4.7 million FiOS Video connections. In simple terms, year-over-year, Verizon "increases of 3.3 percent and 0.1 percent," Verizon said.
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