Core Insights - AT&T reported strong first-quarter results, with over 300,000 net postpaid phone additions and a 4.1% increase in mobility service revenue, while its fiber business continued to grow rapidly [1][4] Strategy - The company is focusing on a customer-first approach, exemplified by the AT&T Guarantee program, which offers bill credits for service outages, enhancing customer satisfaction without heavy reliance on promotions [2] - AT&T is promoting its wireless-fiber bundle, with over 40% of fiber households also subscribing to wireless plans, leading to higher customer satisfaction and lower churn rates [3] Performance Metrics - In the first quarter, AT&T added 324,000 net postpaid phone subscribers and maintained a low churn rate of 0.83%, while also adding 261,000 fiber subscribers, marking 21 consecutive quarters of over 200,000 net fiber additions [4] - The consumer wireless and fiber growth offset a 9.1% year-over-year decline in business wireline revenue, resulting in an overall service revenue increase of 1.2% [5] Financial Guidance - AT&T reiterated its full-year guidance, expecting mobility revenue growth of 2% to 3%, mid-teens percentage growth in consumer fiber revenue, and free cash flow exceeding $16 billion, excluding DirecTV contributions [6] Balance Sheet Improvement - The company's balance sheet has improved as it has reduced debt from past media acquisitions, now within its target net-debt-to-adjusted EBITDA range, allowing for the resumption of share buybacks planned for the second quarter [7]

Core Viewpoint - The reduction in federal spending due to job cuts by the Trump administration has negatively impacted Verizon, leading to a larger-than-expected decline in mobile phone users in Q1 [1] Group 1: Company Performance - Verizon reported a loss of 289,000 monthly phone users, exceeding analysts' average estimate of 185,500 [1] - This decline represents a significant reversal compared to the addition of 568,000 users in the previous quarter [1] - The current user loss is more than double the decline experienced in the same period last year [1] Group 2: Market Impact - Verizon's stock price fell over 3% in pre-market trading following the announcement of user losses [1] - The company attributes part of the user decline to reduced spending by federal agencies as a result of job cuts implemented by the Trump administration [1]