Verizon: Wireless Funds Fiber

Light Reading reports that Verizon Communications (NYSE: VZ) said "sales and subscriptions were up, though, thanks to the booming wireless business."

According to the article, "Verizon Wireless added 1.7 million customers in the quarter, for a total of 53 million customers, up 16.7 percent from the first quarter 2005. That's slightly behind market leader Cingular Wireless LLC , which ended its first quarter with 55.8 million customers. The company also reported a record-low churn, or customer turnover, of 1.18 percent for the quarter. Cingular's churn for its quarter was 1.9 percent, while Sprint Nextel Corp. (NYSE: S) first-quarter churn was 2.1 percent, at least among post-paid wireless customers."

Light Reading's go-to analyst Phil Redman at Gartner said, "It is amazing that all the big guys have reduced churn and yet are still growing."

The article said, "Verizon's wireless data services revenues more than doubled from the previous year, contributing $872 million for the quarter. This included 9.6 billion text messages, which contributes to a growing share of business: 11.5 percent of wireless service revenues came from data services this quarter, up from 6.3 percent the same quarter the previous year."