Verizon lifts annual forecasts, signs more than $2 billion AI infrastructure deal with AWS

What happened

Verizon raised its annual forecast for wireless subscriber additions and signed an AI infrastructure deal worth more than $2 billion with Amazon Web Services. It reported 406,000 monthly-bill paying wireless subscriber gains for the third quarter.

Confirmed

Global impact / market context

More subscribers and higher earnings guidance suggest Verizon's simplified plans are attracting customers, which supports revenue and profit. The $2 billion AWS deal gives Verizon a new infrastructure role, linking its fiber network to growing demand for AI data centers and opening a potential revenue stream beyond phone service.

Analyst inference

Verizon is restructuring under CEO Dan Schulman and simplifying wireless offerings, while customers keep phones longer after device subsidy cuts pressured third-quarter revenue. The AWS deal ties a telecom carrier to cloud and AI infrastructure spending, a contrast to its slower device upgrade business.

Analyst inference

What to watch

1. Verizon expects 1.1 million to 1.2 million postpaid phone subscriber additions this year, up from 750,000 to 1 million, and raised full-year adjusted earnings per share guidance to $5.04 to $5.06. Confirmed
2. Watch whether Verizon's Simplicity plan, launched in June with transparent pricing and unlimited data, keeps subscriber growth strong enough to offset lower device upgrade volumes caused by reduced device subsidies. Proposed
3. Track whether the AWS deal expands into more fiber connectivity revenue for Verizon, since greater AI data center demand could raise capital spending needs and change how investors value the carrier's growth. Analyst inference

Evidence

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