Craig Moffett: Can I just maybe drill down a little bit though? I mean, the growth numbers we’ve seen have been as high as 6 million-plus. Is that a feasible growth rate? Population growth, including immigration, is more like 3 million. Is your sense as you go into set your own expectations for the year that we’ll see some deceleration? Or is your sense that there’s still something going on that’s keeping growth so far in excess of population growth?
Hans Vestberg: I think that we’re going to — whatever number it’s going to be, we’re going to get our fair share of it and that’s what we are aiming for. But you’re right, of course, immigration is lower, so the pool is smaller, but we’ve also seen a really good uptake between value segment to postpaid. So, there’s a lot of factors coming in. And then of course, what we have done, when I think about offerings, we have myPlan. We’re adding the perks, for example, the Netflix and Max. We are expanding also ARPA because we have such a great offering to our customers. So, this is a new time. But again, the product is so important for the market and for each and every one of us. So, I feel really good about coming into this year, what we have done and where we have got, and let’s see where we end up.
Craig Moffett: Great. Thank you.
Brady Connor: Thanks, Craig. Brad, we’re ready for the next question.
Operator: The next question comes from Kannan Venkateshwar from Barclays. Your line is open, sir.
Kannan Venkateshwar: Thank you. So maybe a couple. I guess, firstly, on the fiber side, Hans, as you think about the base of fixed wireless subscribers, by next year, you’ll have a pretty big critical mass overall of 5 million-plus potentially. And it’s not too far away from where your Fios base is. And you have BEAD money coming in. Potentially there’s more interest from private equity funds and so on and so forth. And I know you’ve talked about being a lot more disciplined on fiber, but does your breakeven threshold change just given the kind of critical mass you get to in fixed wireless and also the kind of capital alternatives that we are starting to see in the market? That’s one. And secondly, on the wireless side, over the last two or three years, I mean, obviously there’s been pretty big tailwind to service revenue from prices and explicit price increases.
So, your thoughts on how long that can continue and when does mix take over and become a bigger component overall from a service revenue growth perspective, and how we should expect that transition to happen would be helpful. Thanks.
Hans Vestberg: Thank you, Kannan. I have to go back a little bit when it comes to our broadband strategy. We have a multipurpose network. We’re building networks once and we have multiple options at the edge. That was sort of the infancy of the Verizon Intelligent Edge Network. From the data center to the edge, we have harmonized everything, we have fiber in between everything, we have multi-routers, we have one transport network, that is super important. It’s sort of the brain of the network. Then, at the edge, we have optionality, what type of access we have. In the ILEC, of course, we’re going to continue with our success in Fios, and outside we’re doing fixed wireless access. But it gave us optionality over time. I like owner’s economics.
I think that, that makes us very competitive in pricing and offerings to our customers. There are, of course, a lot offerings from people that want to ship in capital, but ultimately, it has paid off for us to be very, very prudent in financial discipline with our own money. But you can never out-rule, but that’s really my view on it. But I’m creating optionality with the network, and Joe and his team are super agile if we need to be within that. On the wireless, I would say, I mean, if you look at our Business side, they have great offerings in the market. They have taken the fair share over 10 quarters, and then have also made new offerings so they can expand. So, I think they both have done quantity and value. And wireless, of course, on the Consumer side, they have historically had more ARPA increase with new offerings, new pricing, new products rather than volumes, but you have seen us performing in the last part of the year.
And I think Sampath and his team, they have said that they want to increase their part of getting new customers. But again, it will be financial discipline, and we should get the right customers. And if you look at our quality of our consumer base, it’s just amazing, and we will continue to be financially prudent on that, but clearly, we want to have more volumes, and — but not to any cost. We will do it with the right cost and the right product to our customers.
Kannan Venkateshwar: Great. Thank you.
Brady Connor: Thanks, Kannan. Hey, Brad, we’re ready for the next question.
Operator: The next question comes from Peter Supino of Wolfe Research. Sir, please go ahead with your question.
Peter Supino: Hi, thanks. Good morning. On the subject of consumption and network utilization, I wondered if you could update us on the number of gigabytes per month that postpaid phone customers are consuming nowadays. And extending that thought over the next few years, does that growth and the robust FWA business that you’re building suggest that we should prepare for densification or other radio access network or spectrum costs for capacity over the next several years, certainly not a 2024 question? Thanks.
Hans Vestberg: Yeah. I’ll come back to how we build the network, because building the network is so important, because the biggest challenge with a lot of traffic is, of course, transporting it in efficient way, having your own fiber, and that we’ve already built. When it comes to the growth in the network, yeah, everybody is using the network more. There’s no difference between fixed wireless access and Fios. And of course, wireless consumers are using the network more as well. But we have built a very stable network all the way from the data centers to the edge. And then, of course, we have assets that nobody else have. We have a lot of our traffic on millimeter wave, which is the cheapest way to deliver data in the market by far. And we have our C-Band years coming out, so — and we have our best engineers. So, I feel really good with that people and customers are using our network more. That’s what this was intended for, and we have designed it like that. So…
