How Verizon Became New Streaming Services' Secret Weapon for Scaling

In August 2021, AMC+ landed what has become every streaming service’s holy grail: a coveted Verizon partnership. As part of a deal between the two companies, certain customers of Verizon’s broadband and unlimited phone plans are entitled to a free year of the AMC Networks streamer, featuring ad-free programming across its entertainment networks and early access to original shows. The giveaway offered a major marketing boost to the streaming service, which aims to clear 9 million subscribers by the end of 2021. Partnerships between streaming services and internet and phone service providers can provide a leg up in the streaming wars, giving new services access to sizable customer bases, plus extra marketing muscle and customer management expertise they may lack on their own. At Verizon, streaming partnerships have resulted in “extremely high” conversion rates; according to Frank Boulben, chief revenue officer of Verizon Consumer Group, 50-70 percent of customers either upgrade their plans to include continued access to a streaming service or opt to continue paying for the service separately. While telecommunications companies continue flocking to streaming video services for customer giveaways, those kinds of partnerships may not last forever. If customer interest starts to wane, phone and internet providers may move on to other in-demand services—which may be why Verizon is already eyeing mobile game subscription offerings as yet another differentiator.