Verizon Communications to make debut in Mobile Video service

Verizon Communications Inc is going to launch mobile video service this summer. The company stated that the upcoming video content service will bring a rise in profit with the help of a combination of highly targeted ads, exclusive content and pay-per-view live concerts and sporting events.

Majority of Americans have a mobile phone and now, the company wants to use that aspect in its benefit. On Tuesday, Chief Financial Officer Fran Shammo said that Verizon looks to offer video content in order to bring a rise in data usage on mobile device hence, increase profits.

The digital video service is meant for families and younger viewers, as these categories majorly view content on mobile devices. With the service, Verizon will make its debut into mobile video.

Though there are many companies, like Netflix and Dish that already offer Web-based video services, Verizon has chosen a different way to be in the field and that is through an ad-supported business model and short-form programming for mobile devices.

"If you can accumulate customers who are very appealing to advertisers who are more apt to buy a specific product from a specific advertiser, that is more meaningful to an advertiser and they are willing to pay more dollars for that", affirmed Shammo.

The upcoming digital video service will offer wide range of content, including National Football League, DreamWorks Animation's AwesomenessTV unit and Vice Media.