SHARE

Verizon Communications Inc. (NYSE:VZ) is stepping up its game and perhaps answering the “Paul switched” ad that was released by Sprint Corp (NYSE:S).

Verizon’s new ad which was aired for the first time on Monday at the NBA finals features Jamie Foxx who criticizes Sprint’s LTE coverage. The ad also seems to be hitting back at Sprint for claiming in a previous ad that its mobile network is just as good as Verizon’s network. To add to the fire, the Sprint ad featured Verizon’s former pitchman Paul Marcarelli who is popularly known for the “can you see me now” ads.

The retaliatory ad from Verizon was a 30-second video clip in which popular actor Jamie Foxx showcases two LTE network coverage maps for Verizon and Sprint. Mr. Foxx also points out that Verizon’s 4G coverage throughout the US is four times larger than that of its rival. Verizon revealed about a month ago that its LTE network covered 2.34 million square miles while Sprint’s 4G network coverage is less than that of Verizon by roughly 1.5 million square miles. The other two major telecom firms have more LTE coverage than Sprint.

AT&T Inc. (NYSE:T) claimed that it was closer to Verizon’s coverage by a difference of roughly 600,000 square miles. T-Mobile US Inc (NASDAQ:TMUS) reported that it covers about 1 million square miles less than Verizon. The numbers were only presented as a representation of their geographical coverage and not the number of customers.

The new ad also comes shortly after the second quarter earnings results in which Verizon’s customer growth was lower than expected compared to the second quarter performance of the company in 2015. Sprint reported better than expected numbers as far as customer growth is concerned. The ads from the two companies point to the growing rivalry between the two firms especially at a time when the mobile communications market has been slowing down. The four major firms have been busy competing against each other and this has been beneficial to the users because it has led to better services and better pricing.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of journaltranscript.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to:

https://www.journaltranscript.com/disclaimer

LEAVE A REPLY