Subs down for FiOS TV service
Verizon's telecom TV service has total of 3.2 million usersNEW YORK -- Telecom giant Verizon on Friday reported lower quarterly subscriber growth for its FiOS TV service -- a day after AT&T did so for its U-Verse service.
It is the latest sign that year-over-year user growth for telecom TV services, which compete with cable and satellite TV companies, may have peaked.
Verizon said it added 174,000 net FiOS TV user additions in the second quarter to bring its total user base to 3.2 million. In the year-ago period, it had signed up 300,000 net new TV customers.
In a positive development, subscriber growth picked up a bit sequentially over the first quarter, when net adds had reached 168,000. The small increase came even though the second quarter is traditionally the weakest for video subscriptions in the industry as students and people who had left their colder home regions for warmer climates during the winter move.
In a conference call early Friday, Verizon CFO John Killian lauded a 7% year-over-year increase in average revenue per user at FiOS and said his company is cautiously optimistic about the U.S. economy.