VZW Announces Revenues, Readies for iPhone

Verizon announced quarterly earnings this morning. Subscribers grew at higher-than-expected levels but revenue ($26.4 billion) fell vs. a year ago ($27.1 billion). Earnings were slightly below expectations. 

Verizon added 955,000 customers overall in the quarter; 872,000 were post-paid. According to Verizon, "more than 75% of 4Q postpaid net adds are smartphones." Overall 49% of fourth quarter handset sales were smartphones. The company didn't break out sales by mobile OS but Android likely formed the bulk of those sales. 

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Verizon now has a total of 94.1 million wireless customers in the US. 

The carrier will begin selling the iPhone on February 10, in a couple of weeks. Analysts estimates vary but Verizon can be expected to sell millions of iPhones over the course of the year. Some will be new customers but many will be upgrading from other handsets. 

At the "premium" end of the market the iPhone can be expected to take some customers who would have bought Android handsets. However Verizon is giving away several Android devices with a two-year contract and so those kinds of promotions will keep Android "sales" at Verizon humming along. 

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Earlier T-Mobile acknowledged that 10% of the company's churn rate is caused by customers leaving for the iPhone. And reportedly Verizon will offer a $30 unlimited data plan for the iPhone.