Verizon's Core Business Under Pressure

Verizon reported a 2.4% decline in revenue for 2016 on a like-for-like basis to 126 billion US dollars, as wireless revenue fell 2.7%. In the fourth quarter, reported revenue was down 5.6% to 32.3 billion dollars.

But Verizon talked up its new media and Internet of Things businesses. "In the fourth quarter, our digital media business, led by AOL, generated revenue of 532 million dollars net of traffic acquisition costs," said Matt Ellis, CFO of Verizon. "This revenue is down about 5% year over year as expected, due to the revenue lift related to the Microsoft deal in the fourth quarter of 2015, but increased around 10% sequentially, in line with expectations. Organically, Internet of Things revenue was 243 million dollars, up 21% in the fourth quarter. We expect to sustain these strong trends. Including acquisitions, Internet of Things revenue increased more than 60% in the fourth quarter." source: Verizon statements