Verizon posts first quarter numbers, gets bested by AT&T's
By Chris Ziegler 
posted April 22nd 2010 7:41PM
posted April 22nd 2010 7:41PM
Verizon may have nearly six million more wireless customers in total than its closest rival, AT&T -- 92.8 million to 87.0 million, to be exact -- but that doesn't necessarily mean it's got the healthiest financials, as evidenced by the Q1 '10 numbers posted this week by the two companies. AT&T came through yesterday with $2.5 billion in income that would've actually been $3.1 billion had it not been for a one-time charge related to employee healthcare; Verizon, meanwhile, clocked just $400 million on revenue of $26.9 billion after $962 million in various charges (including one related to -- you guessed it -- healthcare). That compares to $1.6 billion in income in the same quarter last year, but it's still admittedly a good deal rosier than the net operating loss it posted in the last quarter after charges had been applied. For what it's worth, Big Red is quick to accentuate the positive by pointing out its 1.5 million organic net wireless adds and a significant increase in data revenue year over year -- 26.4 percent, in fact, a number for which it probably has the Droid to thank.
@summerboy18
I think giving Verizon the iPhone wouldn't help Apple in the slightest.
I'm curious to see, and too lazy to look up their respective ad budgets. Verizon has to spend a lot more considering Apple picks up the tab for Iphone ads
Dear "BIG RED",
ERIS 2.1 update???
Come on, show the "other" Droid adopters some love!!!
Glad to see AT&T can lead in something other than dropped calls.
@bighap
They're not "dropped calls" as much as they are "cellular surprises." They're just trying to bring some mystery back to the phone call.
@bighap great point lol
@bighap
Perhaps, this is how AT&T makes the money - by dropping calls and the rounding up the call time to minutes?
How much does at&t contribute to Apple's ad budget for the iPhone? The fact that they don't have to and in fact, aren't even allowed to do their own ads for their flagship handset could make a difference in how much they have to spend overall for their general ads. Luke Wilson can't cost that much can he?
At the same time VZ does all the ads for the Droid
Keep the excuses coming fanboys, now its because AT&T doesn't spend money on ads, lol.
@Kwame Nkrumah Are there really any Verizon fanboys out there? It's a decent question to ask. As was pointed out, AT&T doesn't spend any money to advertise their biggest seller. That has to amount to a decent bit of cost savings. Add to that Verizon's push to roll out LTE by the end of the year and you must have a lot of the difference right there.
In the end I don't care how much either company makes. I care about what improvements they're making to their infrastructure and their handset lineups.
OK, just so we're clear now. Both AT&T and Verizon are making serious bank on their new SmartPhones with real web browsers, whether Android or iPhone or whatever. And with all their moaning about how much our bandwidth consumption habits are destroying their networks you might forget that every once in a while and feel bad for them. DON'T.
@Fanfoot lol i never feel bad for wireless companies when my bill is $150 ... I know there are people that even pay more. So, I see your point however. What I tell myself is: I am paying for this - a lot. So, I better enjoy it and use it @ full.
They are too greedy both ATT and Verizon. I have yet to try Verizon as a full customer , but I can say no company is perfect.
@summerboy18 so giving a great phone to the U.S.'s largest network wouldn't help riiiiight I'll keep that in mind hehe
@Peter Church
Are you kidding me? *scoffs*
So many people are asking me when a Verizon iPhone is coming out.
That would be a huge growth engine....
@SolidSnake
The move would grow Apple's market share a little, but the iPhone would become a non-exclusive phone on Verizon and non-exclusive phones get less money per contract. So instead of making 600 dollars a phone, Apple would be making maybe 200 to 300 a phone and that would suck for their profit margins.
Better to convert more AT&T customers to the iPhone and grow AT&T's subscriber base, which is exactly what has been happening. Apple should keep their current strategy in the U.S. It's working great.
Ah just wait for the iPhone to hit VZW...hang in there Verizon
@summerboy18 As a Verizon user, I don't care if the iPhone is ever sold on verizon. In fact, I hope they don't, as it means more bandwidth for me, and their continued focus on non-Apple devices. That said, I have to wonder if you ate a lot of paint chips as a kid or something.
Do you really think Apple has nothing to gain by adding their phone to the largest subscriber base in the country?
Wait - is anyone surprised? Think about how much AT&T charges, and how little it's spent (up until recently) to improve its craptastic network. Please tag this with #DUH..
@whySoSerious
lol duuuuuuuuhhhhhhhhh!!!!!!
Hmm. Verizon spent $23 billion to get 3 million FIOS subscribers. That's $7666 PER subscriber.
Guess how long that's going to take to pay off?
Kind of explains why there's no new Fios cities being added huh?
The moment Apple or Verizon announces a Verizon iPhone, AT&T can say goodbye to that $2 billion.
Although that's not going to happen for another 3 years... right?
That's iPhone magic working for AT&T right now
Oh you POor Multi-Billion dollar company, I feel really bad for you!!! Ha! ; D
@SParklingCYaNide
Considering Washigton's current regime pushing "redistributive change" I feel sorry for anyone who manages to successfully run a business including myself. :(
@TimeForTheFairTax What re distribution are you talking about? From what I can tell almost all govt. Money seems to be going to the big companies ( and their rich employees). The same as during the last administration and the one before. I too earn above avg. But I don't let Fox news fool me with their crap! There is no new re distribution going on for sure! America is a country where people have by and large forgotten to know how to look for facts.
@PerryAJ
Lol at the Apple Haters.
Your agenda is so transparent. You know that AT&T and Apple have a solid relationship and that part of the attractiveness of the iPhone is it's exclusivity to AT&T.
The Apple Haters want the iPhone to lose it's uniqueness which is what will happen if it goes to Verizon.
Well Steve Jobs is wise to your shit and at the end of the day Apple & AT&T are making boatloads of money and laughing all the way to the bank.
Apple doesn't need nor want Verizon.. Verizon snubbed Steve Jobs years ago when the iPhone was a concept and now they're paying for it. Jobs won't forget and he'll never allow the iPhone to come to Verizon.
@TheLondonExchange
Seems its Verizon who need Apple.
its fios thats messing them up!
If they got rid of FiOs and just did phones they might have less revenue but more net profit.
@Peter Church
thats just it you idiot! most people on at&t that want an iphone has one already!!! and even if everyone on at&t has the iphone its not gonna rake in more money than 75% of At&t and 50% of VZW having one!
and VZW obviously doesnt need the iphone if they turned apple down first. and they will turn apple down again if apple asks VZW to been over and take it in the ass like AT&T.
AT&T always reports new iPhone activations. Did varizon say how many Droid's were sold?
@jaffreywali
They've never mentioned it. Neither has Motorola. We can only rely on third parties to make guesses.
@HTCAndroidTre
Looking at these numbers compared to AT&T , they sure do need Apple.
Seriously? You don't really believe that do you or are you just trolling?
@Peter Church Haha yeah. With all the exclusivity of the iPhone means even more bogging down on an already oversaturated network. I honestly don't care if it goes to verizon. More network for me. It seems that AT&T needs Apple more than anyone else. That iPhone is a double-edged sword. Making money from the item that tears at your network the most. Get money from sales and turn around to work on that network. Or atleast that's what they should do atleast. AT&T seems to be Me. Scrooge to me. Verizon is definitely the Ghost of Christmas Yet to Come.
@hated one
Verizon's loyalty comes from the ABA (Anything But Apple) crowd.
Ummm people I think you all are forgetting something,
The att numbers were for att as a whole not just the wireless side. Don't believe me look it up. They just posted a few numbers from their wireless side and made it sound as if that is what the earnings statement was. Its for att as a whole.
The verizon numbers are just from the wireless side not verizon as awhole. Now if you compared both of their wireless sides the numbers would be pretty much about the same.
Health care costs are hurting a lot of corporations and businesses now. Our health care system is a mess and the recent federal health care legislation will do almost nothing to help the situation.
We will see after the HTC Desire gets release next week, and if VZ gets the Iphone this summer. ATT wont have a leg to stand on.
Sorry, Verizon. It's my fault. I left you for Straight Talk.
@TheLondonExchange
I don't get the whole uniqueness point. I don't think alot of the population knows that the iPhone is AT&T only, and I think most don't care (talking about midwest, don't really know about the coasts). Sure, a few years ago, everyone was saying "WOA DUDE YOU GOT AN IIIIIPHHHOOONNNEEEE!!!" I don't think people were saying "WOA DUDE YOU GOT A PHONE ON AT&T!" Plus, every phone now is curvy, has a touch screen, browses the web, plays music, bla bla bla. There really isn't much that is all "unique" with smartphones anymore. I don't think the Verizon Logo on the back of the phone makes the product less unique, its the saturation of the market with the same thing over and over that makes the iPhone stand out less. Plus, I see everyone's mom and dad walk around doing the stanky leg to their favorite Kenny Chesney tune while talking to their best friend on speaker phone AND getting reservations to that hip sushi joint downtown.
Reading some of these posts remind me of how good my life is. Cause I have one.
@Kwame Nkrumah
until the iphone comes to VZW and then AT&T's loyal costumers are gonna be SOL (Shit Outta Luck) with there crappy service, stuck in 3g until 2012, and there amazing talking/surfung the web :]
@Alexpeegs only the largest BC.they acquired alltell and other small companies. Doesn't mean nothing. Its called huge ETFs. LOL
@HTCAndroidTre correction apple turned them Down BC network wasn't solid enough Ex:CDMA?
@hebrewknight
whooa i could have sworn there was a CDMA iphone out there somewhere.
thx but i think ill stick with my version of the story