Verizon reported a 3.2% year-on-year increase in operating revenues for the fourth quarter of 2015 to 34.3 billion US dollars, boosted by the acquisition of AOL. For the full year, Verizon reported total consolidated revenues of 131.6 billion dollars, up 3.6%. Verizon also said it generated revenues of about 200 million dollars from the Internet of Things in the fourth quarter and 690 million dollars across 2015, an increase of 18% on 2014.
In 2016, Verizon plans capex of between 17.2 billion and 17.7 billion dollars, compared with 17.8 billion dollars in 2015. Verizon said it is pursuing a three tier strategy based around supplying connectivity, building platforms and providing solutions. It noted that the "acquisitions of AOL and Millennial Media added capabilities that significantly bolster Verizon’s strategy with strong cross-platform consumer and advertising offerings, particularly in mobile and video. In 2015, the company launched the go90 mobile-first social entertainment platform, Custom TV options for Fios customers, the hum direct-to-consumer telematics product, and the Thingspace suite of developer tools to advance the Internet of Things market." Source: Verizon statement
On a conference call with analysts, CFO Fran Shammo said that while Verizon is “encouraged by the use of go90 so far”, he did not expect it to contribute to profit for approximately two years. “Right now, we are more focused on increasing our viewership of go90, rather than it being a profit contributor,” he added. “We see it as an important part of our wider video offering and we are hopeful this will allow us to generate incremental revenue, and develop new and exciting content.” source: Mobile World Live article
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