Verizon seals billion-dollar acquisition to lure customers | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

Verizon, one of the top U.S. wireless carriers, has been facing tougher competition in the broadband market despite record growth.

In Verizon’s most recent earnings report, the company revealed that it added 61,000 new Verizon Fios internet customers during the third quarter of 2025, its best quarterly result in two years.

“Our broadband base is up 1.3 million subscribers from a year ago and is now over 13.2 million subscribers,” said Verizon Chief Financial Officer Anthony Skiadas during an earnings call in October.

Verizon Fios even has the highest consumer satisfaction rate among its wired internet competitors, according to a recent J.D. Power survey.

However, Verizon’s rivals have a leg up due to Verizon Fios’ unavailability outside of the East Coast.

Wired internet U.S. consumer satisfaction rates:

Six months before October 2025, wired internet providers saw a 6% increase in new customers.
The average satisfaction score for wired internet is 554 (on a 1,000-point scale).
In the East Coast, Verizon beats all of its wired internet competitors with a satisfaction score of 578.
However, in the North Central and West coasts, AT&T has the highest wired internet satisfaction rates, with scores of 554 and 561, respectively.
In the South, GFiber takes the top spot with a satisfaction score of 703. Source: J.D. Power

Verizon is facing stiff competition in the broadband market.

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Verizon completes acquisition of growing rival

As Verizon’s limited Fios availability sets it back, the company has just made a significant move to expand its reach to more consumers nationwide.

Verizon has completed its $20 billion acquisition of Frontier Communications. The acquisition was first announced in September 2024.

At the time, Verizon said in a press release that it aims to accelerate the delivery of its “mobility and broadband services to current and new customers” by purchasing Frontier.

Now that the deal is finalized, Verizon says that its network footprint now reaches 31 states and Washington, D.C., offering “better value and more choices” to millions more customers, according to a new memo from Verizon CEO Dan Schulman.

“Frontier has executed an impressive turnaround, consistently delivering strong results, and the momentum is clear,” said Schulman in the memo. “Our combined strength immediately creates an unparalleled fiber network.”

Frontier has indeed rapidly grown its internet customer base in recent months, following its exit from Chapter 11 bankruptcy in 2021. During the third quarter of 2025, Frontier added 133,000 new fiber internet customers, reflecting a 20.2% year-over-year increase, according to its latest earnings report.

The company’s fiber broadband revenue growth also spiked by 25%, compared to the same time period in 2024.

Verizon bets big on Frontier deal to win back wireless customers

Verizon hopes that this deal will not only help its Fios internet service reach more consumers but also repair its recent wireless customer losses.

In the third quarter of last year, after implementing price hikes and ending several discounts, Verizon lost 7,000 postpaid phone customers, pushing its churn rate to 0.91%.

The loss comes at a time when more consumers nationwide are considering switching phone carriers as they battle higher monthly bills, according to a survey from Market Force Information last year.

How U.S. consumers feel about Verizon’s wireless service:

Approximately 65% of consumers use phone services from the “Big 3” carriers: Verizon, T-Mobile, and AT&T, spending over $100 per month on their wireless services.
On average, Verizon customers pay over $150 for service.
About 23% of Verizon customers are considering switching to another carrier in the next year or two, citing better pricing, promotions and coverage as the primary reasons.
Verizon scored 40% in overall brand performance across customer experience metrics.
Smaller wireless carriers such as Consumer Cellular and Mint Mobile scored 73% and 65.8%, respectively. Source: Market Force Information

“There’s a clear shift in the market towards smaller, more agile wireless carriers who are delivering superior customer experiences,” said David Murray, senior director of client strategy at Market Force Information, in a press release.

“While cost and coverage are always key factors, today’s consumers are placing more importance on ease of service and overall satisfaction with their provider,” he continued.

Verizon hopes that combining its mobile offers with Frontier’s internet service will increase customer loyalty and improve its postpaid phone churn rate by approximately 50%.

Verizon made bold promises to secure Frontier acquisition

Verizon had to jump through hurdles to complete its acquisition of Frontier. In May last year, the wireless carrier cut its diversity, equity and inclusion policies to gain approval from the Federal Communications Commission for the acquisition.

Also, last week, to secure approval from California state regulators for the acquisition (the final step in finalizing the deal), Verizon vowed to invest in 75,000 new fiber locations and build 25 new wireless towers to expand service in rural areas of the state, according to a recent report from Reuters.

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Verizon also agreed to provide free internet service to many low‑income households in California for at least 10 years.

In response to the finalized Verizon and Frontier deal, analysts at S&P Global stated that the acquisition will give cable companies tougher competition.

Cable giants, such as Spectrum and Xfinity, have recently been ramping up deals on bundled phone, internet and TV services to attract more customers, posing a major threat to wireless carriers nationwide.

“The transaction, which we view as integral to Verizon’s current identity and future strategy, will enable Verizon to bundle in home broadband and mobile services to a wider footprint to better compete with incumbent cable providers,” said S&P Global analysts William Savage and Allyn Arden in a recent report.