Verizon Communications Jan. 29 reported it lost 46,000 Fios TV subscribers in the fourth quarter (ended Dec. 31, 2018), reflecting the ongoing secular shift from traditional linear pay-TV to over-the-top video offerings. The telecom lost 29,000 video subs in the previous-year period.
Verizon ended 2018 with 4.45 million Fios Video subscribers, down 3.6% from 4.61 million subs at the end of 2017.
“We expect legacy product revenue to continue to decline in 2019 at rates consistent with last year,” CFO Matt Ellis said on the fiscal call.
Meanwhile, Verizon added 217,000 broadband subscribers – underscoring consumer demand for high-speed Internet service in an era of online TV and OTT video services such as Netflix, Amazon Prime Video and Hulu.
The telecom also continues to push 5G, the next-generation faster mobile network technology. The company (along with AT&T) claimed the first commercial and residential rollouts of 5G networks, despite the limited supply of compatible 5G smartphones on the market.
“As we head into 2019 and the 5G era, we’re beginning a period of transformational change,” CEO Hans Vestberg said in a statement. “We are laser focused on delivering customers a best-in-class and game-changing experience on our networks.”