Verizon Communications this week reported a 9.8% increase in profit for the first quarter of 2008. Verizon said net income totaled $1.64 billion, with revenue rising about 5.5%. Much of the growth came from Verizon Wireless, but Verizon FiOS TV service continue to be secondary source of strength. The telco reported that FiOS TV subscribers increased by 263,000 FiOS TV customers during the quarter, giving a total of about 1.2 million TV customers.
AT&T last week reported it had gained about 148,000 U-verse TV customers, so the two largest telcos won over more than 400,000 TV customers in the first three months of this year. That can't be good news for a cable TV industry that has been knocked around competitively by AT&T and Verizon since last year.