AT&T, Verizon Will Pass Cell Phone Tariff Costs on to Customers

AT&T Inc. and Verizon Communications Inc., two of the biggest wireless carriers in the US, said they won’t absorb any forthcoming price hikes on mobile handsets if and when President Donald Trump’s global tariffs kick in — and that means customers could pay more for new cell phones.

Speaking on a call with analysts after presenting first-quarter financial results, AT&T Chief Executive Officer John Stankey said Wednesday the company’s strategy would be “taking that cost as we’ve traditionally done and largely moving it through to the end user.” Verizon CEO Hans Vestberg said on Tuesday that his company “will not cover any enormous increase on tariffs on handsets. That’s ultimately going to hit the consumer in the market.”