Verizon signs over $1B agreement with Google for dark fiber connectivity

Verizon disclosed on its Q2 earnings call that it signed a dark-fiber connectivity agreement with Google worth more than $1 billion, with Google using Verizon’s network to connect its data centers. The deal supports Verizon’s push to build a standalone enterprise connectivity business aimed at multinational customers and may signal a growing revenue stream beyond consumer wireless. Verizon also said it expects to announce more deals by year-end that could add multiple billions of dollars in revenue over the coming years. Separately, management said transformation initiatives are yielding results, customer economics are improving, and the company remains on track for at least $9 billion in operating expense and capex savings. The announcement is positive for Verizon’s long-term growth and diversification narrative, while reinforcing Alphabet’s ongoing infrastructure spending needs.