Verizon loses wireless subscribers
Verizon lost lucrative wireless phone subscribers amid the health crisis lockdowns that closed the majority of its stores.
The U.S.' largest wireless carrier said Friday that it shed 68,000 postpaid subscribers in the first three months of the year. Wall Street had expected a slight gain.
Postpaid customers are highly valued because they pay monthly bills and don't switch carriers as often. With 70% of stores closed, and those open operating under reduced hours, the company encouraged customers to buy devices online. But customer activity and device volumes dropped significantly.
The telecom operator's media business also took a hit. Although its platforms like Yahoo! and TechCrunch attracted more viewers, advertising rates fell.
Like its rival, AT&T, Verizon pulled its revenue forecast for the full year. It also cut its per-share earnings outlook. Analysts say they'll have to wait until the second quarter to gauge the full impact the pandemic has had on the company's businesses.
Verizon shares ticked lower in early trading Friday.
Separately, AT&T said Friday CEO Randall Stephenson will retire and will be replaced by COO John Stankey in July.
