Verizon has secured a deal with Google valued at more than $1 billion to provide dark fiber connectivity for the search giant’s data centers said CEO Dan Schulman. Schulman disclosed the agreement during Verizon’s post-earnings call, following the company’s report of record second-quarter 2026 results.
Schulman said Verizon expects to announce additional deals by year-end that, taken together with the Google agreement, are expected to be worth multiple billions of dollars in revenue over the next several years.
The disclosure came alongside a strong second quarter for Verizon, which reported mobility and broadband service revenue growth of 2.8%, along with 184,000 postpaid phone net additions, marking the company’s best Consumer second-quarter postpaid phone performance in five years. Verizon generated more than 550,000 total mobility and broadband net additions during the quarter, an increase of more than 230,000 compared to the same period in 2025, and delivered more than 1 million such net additions in the first half of the year, more than doubling its first-half 2025 total. The company also reported broadband net additions of 348,000, up 12.3% year over year, including 193,000 fixed wireless access additions and 155,000 fiber additions, bringing its total fixed wireless and fiber broadband connections to approximately 17.1 million.
Consolidated adjusted EBITDA grew 7.2% year over year to $13.7 billion, the highest the company has ever reported, with adjusted EBITDA margin rising to 40.1% from 37.1% a year earlier, also a company record. Cash flow from operations for the first half of 2026 grew 9.9% year over year to $18.4 billion, while free cash flow rose 16.0% to $10.2 billion. In the second quarter alone, cash flow from operations grew 16.3% year over year to $10.4 billion, and free cash flow rose 24.4% to $6.4 billion. Consolidated net income declined 22.9% to $3.9 billion, reflecting $1.8 billion in pre-tax special items, including a $746 million loss on the disposition of Verizon’s international wireline connectivity and managed network services business, $258 million in asset rationalization charges, and $397 million in severance charges. Adjusted earnings per share, excluding special items, rose 6.6% to $1.30.
Verizon returned $9.4 billion in total capital to shareholders in the first half of 2026 and expanded its full-year share buyback target to up to $4.5 billion. Citing its strong quarterly performance, the company raised its full-year guidance for the second consecutive quarter, now projecting mobility and broadband service revenue growth of 2.5% to 3.0%, adjusted earnings per share of $4.99 to $5.04, cash flow from operations growth of approximately 2.0% to 4.0%, and free cash flow growth of 9.0% to 10.0%.
KEY QUOTE:
“We’re putting customers at the center of every decision we make. With recent updates including our new Simplicity plans, Verizon One converged offerings, and an industry-leading loyalty program, we are gaining subscribers and earning long-term retention based on real value rather than subsidized promotions. Our second-quarter results provide clear, compelling evidence that this transformation is driving a structural inflection point across our entire business. By compounding lower churn with healthier unit economics, we have generated the strongest operating position we have seen in years. Our core connectivity business is gaining momentum, and with the emergence of AI infrastructure revenue, we are fundamentally reshaping Verizon’s growth trajectory.”
Dan Schulman, Chief Executive Officer, Verizon
