Before we begin, I'd like to point you to our Safe Harbor Statement, which can be found in the earnings presentation and on our Investor Relations website. Our comments this morning may include forward-looking statements, which are subject to risks and uncertainties. Factors that may affect future results are discussed in our SEC filings. This presentation also contains non-GAAP financial measures, and you can find reconciliations of these measures in the materials on our website. As a reminder, on June 29, 2026, we filed an 8K with the Securities and Exchange Commission, which disclosed our agreement to form a joint venture with BT Group PLC to combine our international wireline businesses. As such, the net assets that Verizon will contribute to the JV are now classified as assets and liabilities held for sale and have been moved from Verizon Business Group to corporate and other. With that, I'll turn it over to Dan.

Thank you, Colleen, and good morning, everyone. When I stepped into this role last October, I said we were going to do three things. Run the company with operational discipline and translate that into one, we highlighted the first clear and compelling evidence that our transformation is driving a structural and meaningful inflection. We'll take you through our financials in more detail, but it's every key metric. And consequently, we are raising our mobility and broadband service revenue. Rational metrics continue to shine. In the quarter, we delivered 184,000 postpaid phone net ads and an increase of 193,000 from Our consumer Q2 post-paid phone gross ads for Q2. Half of 2026, our post-paid phone net ads are up 537,000 versus a year ago. And we continue to expect post-paid phone net ads to be in the upper half of our 750,000 to 1 million range for the full year. 348,000 broadband net additions, continuing the share-taking momentum we have built over the in total, our mobility and broadband net ads for 550,000. But our net new accounts have also been positive for the long time since we have been able to say that we are now growing both accounts end lines. Driving our postpaid phone net ad growth, consumer postpaid phone churn was 84 from 90 basis points in Q1 and 95 basis points in Q4 of last year. Improvement of six basis points from a year ago. Verizon's overall postpaid phone churn also improved by five basis points from last year, as our business group also drove a meaningful improvement year over year. This is one of the most important metrics in assessing the health of our business model. Consumer post-paid phone churn of 84 basis points is a step change for Verizon. As all of you know, our churn has been steadily rising. It is now down year over year and down sequentially. At the same time, we are improving the quality of our gross ads and lowering our costs lower churn with healthier acquisition economics. You get exactly the kind of operating leverage you are seeing in our financial results. Our financials all accelerated in Q2. Service revenue grew by 2.8% up from 1.6% in Q1. We see this trend continuing to accelerate in the second half of the year. It has a result, we are now guiding our Q3 mobility and broadband service revenue to approach and our Q4 revenue is now anticipated to grow over a year. For the full year, we are now guiding revenues to grow 2.5% to 3%. The upper half adjusted EPS grew by 6.6% year over year to raising our adjusted EPS guidance and percent growth, free cash flow of $6.4 billion, up 24% year over year. One of the strongest cash. Currently, we are raising our full year guidance for free cash flow growth from approximately 7% or more growth to 9% to 10% growth. This is in sharp contrast to the past five years, when both our average annual free cash flow and adjusted EPS grew at approximately negative 1% during that time frame. We also completed $1 billion of share repurchases in the quarter, bringing year-to-date buybacks to $3.5 billion, already ahead of our full-year commitment, raising our full-year buyback target to up to $4.5 billion, reflecting both our accelerating free cash flow and our conviction that Verizon stock at current levels represents a compelling use. These results reflect the operating discipline we have been building across the company. I want to spend a moment on what is actually happening underneath these numbers because the drivers of our model are more important than any single metric. customer economics continue to improve. Q2, our consumer promotional cost of acquisition improved by approximately 15% year-over-year, while our promotional cost of retention also 17% year-over-year. It's also important to note the net ads we are bringing into Verizon remember that we are no longer acquiring Q2's net ad and churn performance at those lower cost. And with our new value proposition, we expect our cost of acquisition and retention to continue to improve. That combination, higher quality net ads, better volumes, or unit cost economics is the engine behind the adjusted EPS and free cash flow performance you are seeing. And it is a meaningful and structural shift in our business model. It will also drive we add more net subscribers across postpaid and begin to benefit from a reduction in our promo amortization headwinds. In Q4, we will also lap the year-over-year headwind from our decision to keep our pricing in line with the value we provide. As I've said, we will not raise prices without adding corresponding value for our price. Second, the network is delivering. Following the actions we took after the January event, our network performance metrics have improved sequentially every month. As we embed sophisticated AI models, economically fix network issues, success in the AWS Spectrum auction, we will add to our network. Convergence is real, and our frontier integration is a cross-sell economics we expected with converged mobility and broadband customer cohorts churning materially less than single product. With 348,000 broadband net ads this quarter, we continue to take share. Fourth, the transformation work streams I described last quarter are producing tangible results to deliver at least the $9 billion of OPEX and CAPEX savings. The 10 transformation initiatives we launch are no longer plans on a page. They are showing up as lower cost more journeys in productivity across the organization. We are rapidly becoming an AI-centric company, and the operating leverage we are experiencing in our results reflect that. Our $9 billion cost program for this year is on plan with a multi-year tailwind that will continue to bear fruit in the year. Before I wrap up, important initiatives we recently launched. Each of these will fundamentally improve our ability to serve our customers while driving incremental value. Our new consumer value Proposition launched in mid-June, delivering well beyond our expectations, built on a single idea that our customers should not have to do anything, no plan changes, no upsells, no fine print, to get more from the company they have chosen. They should get more just for being our customer. And there are three elements I'd like to highlight. First, we launched the most comprehensive loyalty program in our industry. Not a tier, not a segment, not a subset. That's access to our full loyalty program with no plan change. It's a monthly cashback, a redemption catalog that is genuinely differentiated from anything in this industry, and the elimination of activation and upgrades. I do not feel it is appropriate to charge a customer to join our network or upgrade their device. We are redefining what it means to reward customers for their loyalty. Our second innovation is a radically transparent and simplified wireless plan. $45 with one plan, one price, no games. We are taking the complexity out of choosing a wireless plan and trusting that clean on separating phone subsidies from our wireless pricing. That translates into better transparency, more flexibility, and choice for meaningfully better margins for Verizon. And finally, we launched a fully converged nationwide plan called Verizon One. $70 for mobility and broadband together, all taxes and fees included on one bill with integrated servicing is what convergence is supposed to feel like for a customer. One price, one bill, one call if you need help, nationwide coverage, all backed by one company accountable for the industry. Nobody else in the industry is delivering that today. Our new value proposition is a structural repositioning of the Verizon brand around customer value, and it's just another step in our journey to put the customer at the center of everything we do. Consumer post-paid churn, healthier net ads, and a lower cost of acquisition and retention. Those numbers tell you that we have already begun to compete differently. Simplicity, Verizon One, and the loyalty program are the customer-facing expressions of that designed to drive volumes, further reduce churn, and enhance the lifetime value of our company. deeply thoughtful and fiscally conservative in how we have built this proposition. The economics have been pressure tested, the loyalty program is funded within our existing operating envelope, and every assumption underpinning simplicity in Verizon One is grounded in discipline modeling. The new value proposition and loyalty program are additive to our financial profile. They are fully contemplated in our outlook. They do not require us to spend our way to growth, and they are designed to compound the operating leverage you are already seeing. As I mentioned, our initial results are extremely encouraging across every metric. Our second announcement is our 50-50 joint venture with BT that combines our respective international wireline assets into a single. Combined JV will serve over 3,000 joint enterprise customers and represent roughly $4 billion of combined revenue at Formation. Close this transaction in the second half of 2027. The deal sharpens our focus on where and how we win, it improves the financial profile of the remaining business immediately, that we will realize annualized savings of approximately $200 million versus our current quarterly. It allows us to significantly improve our ability to serve our enterprise customers. By uniting Verizon's network strength and international enterprise wireline team with BT's deep history, we are creating a standalone leader in the global connectivity market dedicated to supporting the digital future of multinational organizations. The third announcement is also quite consequential because it foreshadows where our revenue growth profile is going from here. We signed an agreement with Google valued at over $1 billion to use Verizon dark fiber to connect their data centers. We have other deals that we expect to announce by year-end that, taken together, are expected to be worth multiple billions of dollars in revenue. These are long-duration, high-quality, contracted revenue streams from some of the most demanding infrastructure customers, and this is just the beginning. The build-out of AI infrastructure across the United States is one of the largest capital cycles of our lifetime. and Verizon is uniquely positioned to participate in it. We own one of the most extensive long-haul and metro fiber footprints in North America. We have spent decades building the kind of carrier grade, low latency there was need to compute. We built that infrastructure for a different era, but it has turned out to be exactly the right asset for this one. In the early stages of retrofitting many of our central offices into data centers for inference edge computing, with multiple conversations underway with partners who are eager to utilize these hour-ready and permitted locations, moving quickly to expand our TAM in the rapidly growing AI infrastructure market. The agreements we have signed are the leading edge of a strategy that will become a meaningful, incremental leg of growth for Verizon. We expect this initiative to noticeably contribute to our revenue growth starting next year and to grow substantially from what that means in combination with everything else I've said today. In the back half of 2026, our mobility and broadband service revenue growth is expected to accelerate with Q4 forecasted to grow by approximately 4% year-over-year. That acceleration is independent of the incremental AI infrastructure revenue that begins to layer into our results starting in 2027. Said differently, our core business is accelerating and a new revenue growth factor arrives on top of it next year. This is a very different revenue growth than has had in a very long time, and it is the foundation of why we believe that we are at the beginning of a multi-year growth. When I gave our initial 2026 outlook back in January, some of you rightly questioned if we could deliver this kind of acceleration in a single year. After almost a year into my tenure, we are not just on track. We are significantly raising the bar, and we are doing it the right way through healthier customer relationships, stronger network performance, and disciplined execution. Tony and I believe that this is what a disciplined focus on customers and shareholders look like. We are innovating and investing in the full end-to-end customer experience. We are investing in our broadband footprint and the convergence opportunity. We're investing in our AI techs, our dividend, and we are paying down our debt. We are returning incremental capital through buybacks, not as a one-time event or feature of how we run this company going forward. Every one of those levers is moving in the right direction, and that is a function of the operating discipline across the company. The momentum we have in Q2 is driven by our leading indicators. Lower churn, quality net ads section, network performance convergence of 2026 will be stronger than the first staff, and 2027 should be stronger than 2026. This is a multi-year story, and we are early in it. I want to thank the Verizon team for all your hard work. These results are yours. The customer-first mindset, the operational rigor, and the urgency you are bringing to this transformation every day. That is what's showing up. And I want to thank our shareholders for believing in us. We want to earn back your confidence with execution, not with promises. Halfway through the year, the financial profile of Verizon is materially different than it was a year ago, and the trajectory from here looks to be even more promising. With that, let me turn it over to Tony to walk you through the financials in detail.

Thanks, Dan, and good morning. I've got another strong quarter of execution, driving further momentum with our operational transformation efforts we put in place are gaining traction as we continue to make progress while positioning ourselves to be even more efficient. Increasing our 2026 guidance for mobility and broadband service revenue, adjusted EPS, second quarter in a row of raising components of our original full year guidance. Execution and let me begin with our operational results. In mobility, we delivered 184,000 postpaid phone net additions, an improvement of 193,000 from the basis point year over year reduction in postpaid phone churn, reflecting the improvements we are making with the customer experience. This result led to consumer having positive post-paid phone net ads in the second quarter net ad results in the quarter, driven by year-over-year improvement across over $239,000 for the first half of the year, an improvement of $537,000 in the same period last year. We are writing good business, and we continue to focus on growing volumes, primarily by reducing churn. The key to reducing churn is becoming a customer-centric organization, and we are well on our way. In mid-June, we launched an industry-first loyalty program for all customers with Verizon Dollars and Verizon Shine. Streamline our go-to-market approach, and the early results are believed that the launch of Simplicity will be a key long-term driver for margin expansion. Double-digit growth in app traffic since the launch is a concrete sign of interest in our programs and likely a leading indicator of churn improvement. The growing benefits we're seeing from churn reduction are allowing us to drive more of our net ads from retention, enabling lower spend on both COA and COR, while also reducing churn with upgrade volumes we're down nearly 27%. Not to prepaid, our offerings continue their consistent volume growth and positive revenue contributions in the second quarter. Prepaid net ads were 73,000, our eighth consecutive quarter of positive net ads. As a result, prepaid revenue was up approximately $90 million year-over-year, or nearly 5% growth. Continue to take share in broadband with 348,000 net additions in the quarter. Notably, we now have over 17.1 million total broadband subscribers in our base. Fiber delivered net ads of $193,000 and $155,000, respectively, demonstrating our continued success and opportunity to continue to build out Fiber at an aggressive pace and end the year with over $32 million Fiber. What we're seeing from the frontier markets, both in terms of generating Fiber net ads and our execution against a significant cross-sell opportunity, launched Verizon One, which is our first unified go-to-market approach. It is one of the many steps we are taking to improve the customer experience and make it easier to do business with us. Additional results for the first half of 2026 are a step function improvement in where Verizon has been over the past over 1 million mobility plus broadband subscribers in the first six months of the year, positioning us well on the path to deliver long-term, volume-based, sustainable revenue growth. Moving to our financial results, the quality of the business we're writing and our cost-efficiency efforts continue to drive strong adjusted EPS growth and industry-leading cash flows. We are accomplishing this even in the midst of our transitional year for mobility and broadband service revenue. In our revenue growth rates, broadband service revenue was $23.4 billion, up 2.8% year-over-year, and 120 basis points better. Wireless service revenue declined 0.7% from the prior year to $20.8 billion. The second quarter was $34.3 billion, down 0.7% year-over-year. Improvement in mobility and broadband service revenue was offset by lower equipment revenue, which was down nearly 20%, or over $1.2 billion from the prior year, as we drove significantly lower upgrade volumes. Another demonstration of a more disciplined approach as we structurally evolve our business model. The inflection and growth we saw in the second quarter, combined with our expectations for the rest of 2026, give us confidence in raising our Mobility and Broadband Service Revenue Guide. We now expect to grow Mobility and Broadband Service Revenue 2.5 to 3% for the full year. In addition, we continue to anticipate wireless service revenue improving in the second half of the year. Importantly, we are confident that the headwinds from promo amortization have peaked and that these pressures will ease across the second half of the year and into 2027. It continues to drive operating leverage. As evident in our results, we're making tangible headway in our $5 billion operating cost efficiency program. We're also making great progress with the Frontier integration and remain on track to deliver over $1 billion in operating cost run rate synergies. The reported adjusted EBITDA was $13.7 billion, up 7.2% year-over-year. Adjusted EBITDA margin was 40.1% and represents the highest that we've ever reported. The EPS was $1.30, up 6.6% year-over-year. With the strong year-to-date performance and our visibility into the second half, we now expect to grow our full-year adjusted EPS by 6% to 7%. The quality of our business and our customer relationships continue to generate strong free cash flow and support a healthy balance sheet. Our operations was $18.4 billion for the first six months of the year, up over $1.6 billion, or nearly 10% higher year-over-year. This was primarily driven by improved adjusted EBITDA performance and continued working capital benefits, primarily tied to lower upgrade. Capital expenditures were $8.2 billion through the end of the second quarter. We are executing towards our full-year guide of $16 to $16.5 billion as we continue to focus on future growth opportunities within mobility. A net of these resulted in industry-leading free cash flow of $10.2 billion for the first half of the year. This represents a $1.4 billion or a 16% improvement from the prior year. As Dan mentioned, the strength of our year-to-date results and the operational momentum of the business gives us confidence to increase our free cash flow guidance. 9% to 10% free cash flow growth year-over-year. The strength of our cash flow allows us to execute on all aspects of our capital. We continue to be investing in the business. You saw us taking meaningful action to accomplish that in FCC Auction 113. We're very pleased to have obtained high-quality AWS III spectrum that will enhance our network experience in alignment with our commitment to our custom licenses for approximately $3.2 billion, which is a slight discount to their original auction price. Licenses are complementary to our existing spectrum. This reflects our prudent approach to spectrum acquisition. To have this additional inspection deployed within weeks of capture growth opportunities, including AI infrastructure builds across, expect the amount of revenue associated with these deals to be in the billions, a large opportunity with a new, long-term, high-quality revenue stream that we expect to ramp over. We continue to pay down debt in the period. As of the end of the second quarter, we have paid off substantially all of Frontier's debt. Our net unsecured debt to consolidated adjusted EBITDA ratio at the end of the quarter was 2.5 times, a 0.1 times improvement from the previous quarter. We remain on track to reach our target leverage range during the 2027 timeframe. Lastly, year-to-date, we've delivered shareholder returns of $9.4 billion, up more than 60% year-over-year, $5.9 billion of dividends, and $3.5 billion of share repurchases. Generation and the strength of our balance sheet provide significant optionality, which gives us the confidence to raise our full-year 2026 target for share repurchases. To order results, represent a clear step-function improvement across our entire transformation is taking hold, and we are actively translating operational momentum into sustainable. There are three key pillars to this. Operational momentum is very strong. over 1 million mobility and broadband subscribers in the first half of the year. This was driven by customer experience improvements and a five basis point year-over-year improvement in post-paid phone churn in the quarter. Financial execution. We generated our best ever reported adjusted EBITDA and adjusted EBITDA margin. This reflects our relentless focus on cost efficiencies and writing high-quality business as our operating expense savings program We continue to evolve our offerings to be customer-centric. With the launch of Simplicity, Verizon One, and our loyalty programs, we are successfully capturing new customers and retaining existing ones with robust economics, responsibly, and driving meaningful returns for our shareholders. We're executing on our transformation and delivering on our plan. We are playing to win. Before we go to Q&A, I want to share that our Board of Directors has extended Dan's contract through December 31st, 2028. This reflects the Board's confidence in our trajectory, our strong results, and the momentum of our ongoing transformation under Dan's leadership. The entire Verizon team is thrilled. Congratulations, Dan, for more details during the 8K that we just released. With that, I will now hand the call over to Colleen to take your questions.

Thank you, Tony. Brad, we are now ready to take questions. As a reminder, we would ask you to please limit yourself to one question.

Thank you. We will now begin the question and answer session. If you would like to ask a question, please press star 1 on your touchtone phone. Please unmute your phone and record your name clearly when prompted as your name is required to introduce your question.

If at any point your question has been answered or you would like to withdraw your request, you may remove yourself by pressing star 2 one moment please for the first question the first question will come from Sean Diffley of Morgan Stanley please go ahead great thanks very much I had a question for Dan on the competitive backdrop and your new value proposition I was hoping you could provide an assessment on the competitive landscape and wireless and whether you're expected to intensify with a new device launch in the fall obviously the market is competitive but not worsening and you're seeing less handset promos you guys had your best postpaid nets in five years in consumer, churn's getting better. Can you elaborate on which parts of your new go-to-market strategy are resonating most and with which cohorts? And then how should we think about the line versus account growth going forward, following the recent momentum with two months of accounts growing? Thanks very much.

Thanks for trying to address most of it, at least. Let me start off with our value proposition. And, you know, our value proposition is just another step in, you know, our desire to put, we've been investing in every part of that end-to-end customer journey, you know, from the in-store experience to our digital channels. We literally have hundreds of micro initiatives running in the company, going after every single pain point that consumers might have with Verizon. And we're making great progress on that. Like you can see our consumer post-pay churn, you know, down six basis points, down sequentially two quarters in a row to 84 basis points. And honestly, that's before, you know, our value proposition is, you know, really kicking in. And, you know, we expect not just in churn, but in our cost of acquisition, our cost of retention. I will say, you know, we're now 40 days into our new value proposition. All my years in the business, I've never seen a launch go as smoothly and as well as this one did. I think our marketing, consequently, our results are probably even anticipated. You know, our gross ads are about 16% better than we forecasted, and really importantly, our net new account, 31% greater than we forecasted. We are seeing tremendous growth in new accounts mentioned in our new accounts, and I would expect that for Q3, you will see positive. You know, in the quarter, you know, we segments being penetrated based on the new value proposition. We're getting a lot more one- and two-line accounts, a lot more of the youth market, a lot more diverse assumption sets around what would happen in base migration and ARPA. So base migration is maybe a third simplicity. Every new account onto simplicity is basically subsidy-free, which, of course, that's just a huge structural model. And it goes to your point around competition. I think the basis of competition is fundamentally changing. It's moving away from subsidies, at least for us, and it's moving to the overall end-to-end customer experience. Like, what do the products and services look like? Does your loyalty look like? And there's a new basis of competition going on that is much more official. You know, frankly, we're seeing that throughout the industry. Our loyalty program has got a ton of enthusiastic reaction from our customers. A huge number of partners reach out to come into our program with very aggressive promotions for our customers. And so, really, we couldn't have a better start. You know, we're seeing incremental volumes, a very strong start to Q3. Customer feedback has been positive, and obviously it's making a big difference in our financials. I hope that answered most of your questions.

Very helpful.

You bet.

Brad, let's take the next question, please.

The next question will come from Michael Rollins of Citi. Your line is open.

Thanks, and good morning. I just want to get if I could drill a little bit more into this subject. So as we've been following the refreshed go-to-market, you know, I think what's interesting is, you know, you're taking away, as you described, some of the customer pain points, but that does also take away some sources of revenue. So within the guidance, as you're improving service revenue growth, and you just described the better ARPA coming from the simplicity plans, can you further unpack the ways in which you're replacing and improving service revenue growth? And then secondly, I was curious if you could further discuss the hyperscale fiber opportunity in terms of the revenue and is that dark fiber, lit fiber, and the types of investments that might be needed on an incremental basis to deliver on those opportunities. Thanks.

Tony, I'll take the revenue question and then I'll pass it back to Dan on the AI question. So on the revenue, I would say, look, we've made good progress in the second quarter. As you mentioned in the prepared remarks, we're up 120 basis points from Q1, and we said Q1 would be the low point of the year. And based on the strength of the core business, you know, we increased the guide to 2.5% to 3% for mobility of broadband revenue. And we said the third quarter would be approaching 3% and Q4 growing around 4%. And underpinning this is our wireless service revenue. And as we think about looking ahead, you know, we expect wireless service revenue to be about flat for the full year, which implies that the second half would suggest that we see positive revenue growth. And this comes from a few key areas. I mean, first is the volume growth that you see. You know, our mobility net ads are up over 500,000 year-to-date, year-over-year. And even on FWA, we're up over a million subs, 1.1 million subs year-over-year. As you mentioned in the prepared remarks, the promo amortization headwinds have peaked and will ease across the second half of the year into 2027. And then we have things like value-added services, such as perks. I mean, the number of perks are up like 40% year-over-year, so that's driving revenue growth. Prepaid is growing. We're growing volumes, and now we're growing revenue, which is great to see. And then we're lapping the pricing increases from the second half of 2025. And as Dan mentioned on simplicity, you know, we're seeing good green shoots in terms of ARPA accretion. and as we look at each segment cohort. So that's very promising. And, you know, we have, as we mentioned on the call, in the remarks, that we have some early wins on AI Connect that Dan will get into in a second. And that's an opportunity for us, you know, above the core business, and we expect it to become meaningful in 2027. So when you put it together, you know, the actions we've taken are driving durable improvements in our revenue and sets us up well for the, you know, the strength as we head into 2027. And with that, I'll hand it to Dan on the AI question.

But I did first go a little bit into what you just said, Dan. I mean, I think we're driving revenue and volumes in the right way. You know, we're redefining our business model as well. The cost structure is improving. You know, our cost of acquisition down 15 percent, our cost of retention down 17 percent. Those are before the simplicity impacts. And, you know, with churn beginning to come down, I think we not only will be able to drive our top line rating manner, but also begin to see that manifest itself in our bottom line and cash flow. So, you know, Mike, let me go into what we call AI Connect, our initiative inside the company. But this is the first time we're talking about it publicly. You know, our first focus was obviously, you know, address, you know, our mobility and broadband end-to-end customer experience, fix that, launch our new value proposition, put into place our transformation work streams, and assure that we have the right cost structure in place to invest where we needed so that we could drive the results that you're seeing and the returns for our investors. And we're clearly beginning to see signs of that success, not just the Q2, but as we look ahead. But behind the scenes, that there was a kind of once-in-a-generation opportunity for Verizon to participate in the massive AI infrastructure build-out. You know, as we talked to this enterprise, everybody knows that, everybody's hearing. The way that that compute power last year or so is, you know, at first it was about basically saying how do we combine RECs within a data center to optimize compute power, and now it really is about how do you connect data center two data that you can optimize and maximize the ever-exploding need for demand is an equal amount of desire and demand to power inference models and applications that need latency like robotics or remote surgery, autonomous driving, and move that out into the edge. Metro fiber networks, Whether that's dark or lit depends on the customer. Some of them want it dark so they can do the electronics around it. Some of it want it lit. So we do all of the servicing around it of central offices, many of which we're taking copper out of, and we are retrofitting them to be remote data. Power-ready, permitted, fully redundant infrastructure, and those, you know, we did a small trial on that and sold out capability in 24 hours, so we're seeing for that as well. You know, we're just announcing this partnership for well in excess of a billion dollars. The demand for these that we currently have and that we are building is ultimately limited. And that capacity, think about how we handle the demand for that. We're differentiated assets that are in high demand. You know, we've been building carrier-grade fiber wraps for decades. We know how to get it done. We understand permitting. We do our own construction. And we have a solid balance sheet petition that the AI ecosystem needs and counts on. You know, the revenues that we're talking about are meaningful. They've got margins that are equal to or greater than our existing margin structures. and they will begin to impact our revenues and margins beginning next year and grow substantially over the next five to ten years. And I said these AI Connect revenues are on top of what is an accelerating core mobility and broadband business. You know, we're fortunate to be in a position, you know, where our assets and expertise intersect. We don't demand test-based kind of capital that we are putting in and connect infrastructure, providing us with a very different revenue feature than we've had in a long moment.

You bet.

Brad, let's take the next question, please.

Next question comes from John Hudlick of UBS. Please go ahead.

Great. Thanks, and good morning, everyone. Dan, can we talk a little bit about fixed wireless? It seems that they add there on a bit of a downward trend. Can you talk about the performance of the product and maybe the runway you see with it? And then number two, I mean, obviously satellite competition is a key theme in the connectivity space these days. How does your broadband product portfolio, and especially fixed wireless, sort of stack up to competition from these Leo constellations as you see it evolve? We continue to take share. Tony mentioned we have 17.1 million broadband customers. By the way, 58% of them have mobility as well. So we are doing a great job at corroborating. And, you know, as I mentioned on our last earnings call, you're going to continue to see a mixed shift towards fiber. You know, we're growing our homes past. We've got line of sight to at least 32 million homes past by the end of the year. And, you know, in our way of thinking, broadband is broadband. You know, where we don't have fiber, we'll offer FWA for a true nationwide service. Customers don't distinguish between the two. They think about, you know, like what speed are they going to get? Typically on FWA, you know, we're at least 300 meg down. You know, obviously we've got lower churn, but we're seeing increased ARPA as well. It's interesting with our Verizon One product that well over 50% of the people signing on to Verizon One are upgrading their speed levels from that. So that's incremental ARPA. We have room to sell them more lines, more perks, that kind of thing. And so from a lifetime value perspective, we just want to drive convergence as we possibly can. In terms of, we see no impact from satellite providers, penetration on our broadband capabilities. And by the way, that's not surprising. Very difficult, like providers, to provide a service that's even closer with our broadband services. I mean, even at the very lowest broadband speeds called 100 mg down and 20 up, you know, the ceiling that they can quality, even if you can assume that these three satellites are in place at very low orbits, that you've got 1,000 gig down, 100 gig uplinks, it takes five to seven years for them to scale out that. And when they do, you know, maybe they take their beam side in suburbs and in urban areas, but let's just call suburbs right now, the ceiling for them before they degrade service is 10 to 40 ohms pass per square mile at the lowest broadband speed at 100 meg. If they try and compete against FWA at 300 meg, that ceiling drops to 5 to 20 ohms. What we can do is anywhere between 500 and 2,000. So we're like 100 times to 1,000 times more efficient. Our speeds and our capabilities are much higher. And it's basically not possible because of physics, not because of execution, but because of physics. for satellites to effectively compete against a terrestrial network in either mobility or broadband in urban and suburban geographies, which, by the way, is where like 95% to 98% of our revenues are. You know, satellite does have a TAM, probably somewhere between 6 and 8 million homes in the U.S., But it's in primarily very rural. We are building out a terrestrial network, just as cost prohibitive it doesn't, in speculation out there. But there is no, in any structure, you know, it's a very complex JV with T-Mobile and AT&T. But there is no reason that we, no way that anyone can get access.

Yeah, that was great. Thanks, Dan. You bet.

Brad, I believe we have time to take one more question.

Our final question will come from Michael Ng.

Your line is open.

Great. Thank you for squeezing me in. It was great to hear about the mobility and broadband service revenue accelerating in both 3Q and 4Q. I was just wondering if you could talk about whether or not that's, you know, that 4% is a good starting point for how we might think about 2027 for mobility and service and mobility and broadband service revenue growth, just given that it seems like you're only picking up momentum from here.

Yeah. And you mentioned, you know, our wireless service revenue will turn positive. You know, we're seeing a number of, you know, structural capabilities. You know, our volumes, our new accounts, our net ads are increasing. We anticipate it turning positive as well. You know, we're going to be lapping prices. given what we're seeing on, you know, the new model around subsidies, which are going down for the organization, turning from being a headwind to a tailwind for us, you know, next year, we later on AI Connect revenues continue to see our cost of acquisition, cost of retention. So there's a lot of positive momentum that we see, you know, we'll talk about 2027. But as I said, But, you know, the second half of 2026 will be better. You know, we see it being better than 2026 as well.

Thank you, Dan. You betcha.

Thank you. That's all the time we have for questions. Thank you all for your time today.

This concludes the conference call for today. Thank you for your participation and for using Verizon Conference Services.

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