Verizon Bundles Amazon Prime to Pump 1-Gig Fios

November 2, 2018

Verizon will try to move the needle for its relatively new 1-Gig Fios Internet service this holiday season by bundling in a year of Amazon Prime to new customers.

In addition to free shipping perks, Amazon Prime, which sells for $119 a year, also includes a large video streaming library of Amazon originals, licensed movies and TV shows and Thursday night NFL games.

As for the deal, Verizon Communications Inc. (NYSE: VZ) will give a free year of Amazon Prime to new 1-Gig subs (or an additional second year of the service if they already have Amazon Prime). Verizon will also toss in an Amazon Echo device to Fios subs who bundle 1 Gig with TV or phone service and make a two-year commitment.

Bundling options aside, the promo's true center is Fios Gigabit Connection, a service that Verizon launched in April 2017, and, despite the Gig-focused branding, actually tops out at 940 Mbit/s down and 880 Mbit/s upstream.

The Amazon Prime combo is another indicator that Verizon is turning to OTT video options to flesh out its broadband connectivity business. In another recent example, Verizon is bundling in three free months of YouTube TV service to customers who sign on for its new 5G Home fixed wireless Internet service. (See Verizon's Home-Grown 5G Arrives Today.)

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