AT&T and Verizon Add 551K Subs in 2Q/2009
July 2009
AT&T announced it gained 248,000 U-verse subscribers and now has 1.6 million subscribers. The company said that over three-fourths of AT&T U-verse TV subscribers have a triple- or quad-play option from AT&T (adding Broadband, wireline voice and wireless).
AT&T announced a 17 percent growth in wireline IP data revenues driven by rapid expansion in AT&T U-verse services. AT&T’s second-quarter revenues totaled US$30.7 billion, with net income at US$3.2 billion driving mostly by its wireless divisions.
A year ago, AT&T reported a net income of US$3.8 billion, so there has been a slight decrease. However, second-quarter results were up slightly versus the first-quarter of 2009.
U-verse TV’s Broadband attach rate continues to run above 90 percent, and its U-verse Voice attach rate was more than 65 percent in the second-quarter.
AT&T’s total video subscribers, combining U-verse and bundled Satellite customers, was 3.8 million at the end of the second-quarter. IP services now account for 48.3 percent of AT&T’s total wireline data revenues, up from 43.4 percent in the Q2/2008.
Meanwhile, Verizon announced that it gained 300,000 net new FiOS TV subscribers in the secondquarter of 2009, bringing its total to 2.5 million, an increase of 82.1 percent compared with a year ago.
Verizon also added 303,000 Internet customers, a growth of 60.3 percent compared to the same quarter last year. Interestingly, Verizon lost about 117,000 DSL-based Internet customers, but that was offset by the increase in FiOS Internet customers.
In its wireline business, Verizon saw a 13.7 percent increase in consumer ARPU and a 3.0 percent increase in strategic business services revenues. The average revenue per FiOS customer was US$135 a month.
Verizon’s total revenues were US$26.9 billion growing 11.3 percent compared to a year ago.
Analyst Comment: It should be noted that Verizon’s new FiOS additions is the highest number of new quarterly subscribers that Verizon acquired so far. Although AT&T’s additions are fewer than Verizon’s, both companies are still adding customers at a rapid pace. These new subscribers are coming at a time when consumers are watching their budgets and cutting out unnecessary items in order to save money, so it’s clear that consumers are staying with pay TV, just switching to lower cost providers, and dropping some premium TV packages.
Source: MRG, Inc., July 2009 IPTV Bulletin
Deutsche Telekom Buying Additional Stake in OTE
July 2009
Deutsche Telekom is buying an additional 5% stake in the Greek incumbent Telco OTE for €674 million (US$945.8).
Source: MRG, Inc., July 2009 IPTV Bulletin
|
