Verizon, often regarded as the largest carrier in the US, has seen a significant drop in mobile subscriptions, adding weight to recent anecdotal claims that “everyone is leaving Verizon.” In the first quarter of 2025, the company reported a loss of nearly 300,000 monthly mobile phone subscriptions, more than double the loss it experienced during the same period in 2024.
The telecom giant, which reportedly boasts the most subscribers in the country, is facing mounting pressure as competition with AT&T and T-Mobile heats up. Verizon’s first-quarter results fell short of expectations, marking a sharp decline in subscriber growth.
The company reported a loss of 289,000 wireless monthly phone subscribers, well above the anticipated 185,500 drop predicted by analysts. This follows a period of growth, with Verizon adding 568,000 subscribers in the previous quarter.
The company pointed to several factors contributing to the downturn, including reduced spending by federal agencies, which has been linked to workforce cuts under the Trump administration’s cost-cutting initiatives. CEO Hans Vestberg acknowledged that these changes have affected service contracts with the government.
As Verizon, AT&T, and T-Mobile continue their battle for market share in an increasingly saturated market, Verizon’s Chief Revenue Officer warned of a slowdown in subscriber growth due to aggressive promotions by competitors, which extended beyond the holiday season. Additionally, more consumers are holding on to their devices for longer periods, further dampening subscriber momentum.
In an attempt to maintain revenue, Verizon has raised monthly rates and added fees in recent years, but these measures have not led to substantial growth. Overall revenue has remained flat for five consecutive quarters. To counteract this, the company has rolled out new incentives, including a three-year price guarantee and free phone trade-ins for customers who sign up for both mobile and home internet services.
Despite the subscriber losses, Verizon’s CFO Tony Skiadas remains optimistic, attributing some of the losses to its recent pricing strategies. The company finished the quarter with renewed momentum, and it remains committed to financial discipline. Verizon also indicated that any future increases in handset prices due to tariffs on US imports would be passed on to consumers rather than absorbed by the company.
Analysts believe that some consumers have already rushed to purchase handsets before tariff hikes take effect, potentially boosting replacement rates in the coming months. While Verizon did not see an immediate increase in device sales during the first quarter, it expects improvements later this year.
Despite the subscriber drop, Verizon posted strong financial results, with operating revenue reaching $33.5 billion, slightly surpassing projections.
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Disclaimer: The information provided in this article is based on the most recent data available and is intended for general informational purposes. Always verify details with official sources before making decisions.
