Verizon reports Q2; reaffirms Palm Pre launch in early 2010, plans to cut 8,000 employees in 2009
Verizon, on its investor conference call this morning, reaffirmed its intentions to launch the Palm Pre in early 2010. While news of Palm’s revival handset hitting Verizon in the near future is hardly a surprise, Pre hopefuls loyal to Big Red will certainly find comfort in hearing VZW announce the news publicly once again. The impending arrival of the Pre comes alongside Verizon’s Q2 earnings report, which was otherwise laden with bad news. Revenue came in at $26.9 billion, up 11 percent YoY but profits dove a massive 21 percent to $1.48 billion. Wireless saw a 27.7 percent increase YoY in total revenue with a massive 52.6 percent increase in data revenue. Unfortunately, it just wasn’t enough. The real news from today’s call is that Verizon announced plans to reduce its workforce by around 8,000 between now and the end of 2009. It’s pretty obvious that Big Red needs to take drastic measures in its effort to cut operational expenses, but ouch.
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