Verizon Wireless 2012 Annual Report Download - page 4

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$63.4
$70.2
$75.9
  
WIRELESS REVENUE
(BILLIONS)
87.5 92.2 98.2
  
WIRELESS RETAIL
CONNECTIONS
(MILLIONS)
$125.75 $134.51
$144.04
  
WIRELESS RETAIL
POSTPAID ARPA
SUPERIOR NETWORKS
At Verizon we have always believed that innovation in networks is the foundation
for growth across the whole industry. Our strength rests on having the best, most reliable
wireless, broadband and global Internet networks in the industry, and over the years
we have consistently invested our capital to reinforce and extend our lead and get ahead
of the trends that are driving growth in our industry.
The importance of this strategy has never been more evident than in 2012.
Explosive demand for mobile data is arguably the biggest driver of growth in the technology
industry today. Verizon helped usher in this innovative era in 2010 with the launch of our
4G LTE wireless network, which delivers the speed and capacity required for wireless data
and video, and we have led the industry in deploying this vital resource across the U.S. As of
January 22, 2013, Verizon’s 4G LTE network covered nearly 89 percent of the U.S. population,
and we expect to cover nearly our entire 3G network footprint by the end of this year. To
further support the increased bandwidth necessary for growth in wireless data, we acquired
additional wireless spectrum in 2012 from a consortium of cable companies, putting us in a
strong position to capitalize on this growth trend for the foreseeable future.
We showed the same commitment to building and reinforcing our core assets in our wireline
networks. With data trac on the Internet backbone multiplying rapidly, we expanded the
capacity of our global Internet network, connecting most of the major cities in the U.S. and
the busiest routes in Europe and Asia with networks that can deliver 100 gigabits per second
(Gbps) speeds. We also continue to redene our residential broadband network around
ber with our innovative FiOS network, which takes ber all the way to customers’ homes.
Not only does FiOS transform our customers’ broadband experience, it also is far more
ecient than the legacy copper network. FiOS now reaches about two-thirds of our wireline
footprint, and we’re systematically upgrading customers from copper to the ber platform
that provides better service for them and lower costs for us.
2
2012 TOTAL RETURN
VERIZON S&P 500
.%
.%
-10%
10%
30%
12/31/11 2/29/12 4/30/12 6/30/12 8/31/12 10/31/12 12/31/12