Verizon reported relatively solid results in its wireline business, showing revenue slightly below some analyst expectations but FiOS net customer additions of 98,000, above some predictions.
Verizon's FiOS service added 36,000 pay-TV subscribers and 98,000 broadband subscribers as total FiOS revenues continued to grow, up another five percent to $3.5 billion. But those numbers fell well short of results from the year-ago quarter.
Verizon FiOS customers who signed up for service right before the telco's wireline workforce went on strike aren't worried that substitute workers are going to install their service, but rather that they'll get connected on time.
Representatives from the Communications Workers of America (CWA) and the International Brotherhood of Electrical Workers (IBEW) continued to lock horns with Verizon management in Philadelphia over the wireline workforce's health care, pension and job security.
Verizon's wireline workforce strike may be only two days old, but already the company's customers are feeling its effects as FiOS Internet and TV customers are seeing service installation delays.
Verizon this week promised to invest $300 million over the next six years to lay 800 miles of FiOS cable in Boston, providing newfound competition for Comcast in a major market for fiber-to-the-home.
Verizon's 40,000 wireline workers represented by the Communications Workers of America and the International Brotherhood of Electrical Workers have gone on strike after not being able reach an agreement on a new labor contract.
Verizon has struck an agreement to bring FiOS to Boston via a $300 million, six-year investment plan that will replace the city's aging copper network infrastructure with fiber.
Verizon completed its sale of wireline properties in three states to Frontier last Friday, leaving it with a wireline footprint concentrated in the Northeast U.S. market. However, financial analyst firm Jefferies says the deal creates headwinds that could affect earnings.
Verizon is running a new series of ads that tout the symmetrical speed benefits of its FTTH FiOS broadband service over competing cable offerings.