Verizon Q4 2012 Earnings Preview: It’s All Smartphones and LTE

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Sign of Verizon Wireless is seen at its store in WestminsterVerizon is due to announce their Q4 2012 earnings on January 22 of this year. During earning announcements wireless carriers look at where they were the previous year, where they are now, and where they are heading. As far as Verizon Wireless is concerned, the future is all LTE and smartphones, and those 2 industry components drove industry analysts’ expectations of Big Red in the last quarter last year. The United States wireless marketplace is continually becoming more and more saturated, and in 2012 wireless connections actually exceeded the population.

This makes it much more difficult for a company like Verizon to acquire new subscribers, but the successful Motorola Droid Razr lineup the last couple of years has provided a dependable recipe for success. The original Droid Razr 4G introduced an extremely slim profile to the smartphone marketplace, while also preserving a high resolution screen, a speedy dual core processor and full-featured package. The Droid Razr MAXX 4G was basically the same phone, but offered all day battery performance with 21+ hours of talk time from a single charge.

The next successful release by Motorola for the Verizon Wireless 4G LTE network in the US was the Droid Razr HD 4G smartphone, the first Droid Razr handset with a true 720P display. And finally, the Motorola Droid Razr MAXX HD delivered a 720P display, all day battery performance, 32 GB of built-in storage and large 4.70 inches touchscreen with 4G LTE connectivity. The Droid Razr MAXX HD became a flagship phone for Verizon in 2012, and has continued to sell extremely well in early 2013.

Looking back to the 9.8 million smartphones that Verizon sold during last year’s holiday season, a record for the company, overall Q4 numbers will most likely be pointed in the right direction. Whatever the financial picture for Verizon, there is no doubt that LTE smartphones will have driven the most significant level of growth for the company. In mid November of last year Verizon announced they had 440 US markets and cities offering their LTE connectivity, more than 4 times as much as AT&T’s 103 markets, which ranks 2nd among the 4 major wireless carriers in the United States.

And with phones like the Droid Razr MAXX HD delivering powerful dual core processor speeds of 1.5 GHz and offering substantial RAM memory, 1,080P HD resolution video recording and one of the largest high resolution screens in the entire smartphone marketplace, Verizon appears capable of continuing to offer phones which can effectively harness their speedy 4G LTE network. Verizon’s subscriber growth for Q3 2012 grew at an incredible 74% rate over the previous year, thanks to handsets like the ones found in the Droid Razr lineup.

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