SPY295.44+0.56 0.19%
DIA244.88-0.14 -0.06%
IXIC9,324.59+39.71 0.43%

Verizon, Walmart Might Turn Some Stores Into 5G Healthcare Hubs

Verizon Communications Inc.

Benzinga · 03/02/2020 15:08

Verizon Communications Inc. (NYSE: VZ) is in discussions with Walmart Inc. (NYSE: WMT) about testing 5G internet in selected stores. 

What Happened

The two companies are planning to combine health care with next-generation mobile networks this year, according to the Wall Street Journal (WSJ). Select locations planning to offer Walmart digital health services to employees and shoppers will be equipped with 5G by Verizon.

Since Verizon’s 5G signal range is limited, Verizon will have to deploy many more antennas, and consumers must purchase compatible handsets. 

Walmart may use 5G capable cameras for increasing store surveillance and also for inventory purposes by restocking bare shelves. 

Why It Matters

The rollout of 5G services at select Walmart stores would mean faster wireless connectivity for store operations, as well as people living in the surroundings, reports WSJ. 

There are 4,700 Walmart stores in the United States, and if the deal is signed, eventually these would be able to attract customers looking for medical treatment along with groceries and clothes.

Verizon’s 5G network is currently available in 10 cities, including New York, Washington D.C., and Phoenix.

The next generation of mobile networks is presenting investors with new investment opportunities. Experts claim that trade tariff-related weakness could present long-term buying opportunities this year.

Price Action 

Verizon shares traded 0.13% higher at $54.23 in the after-hours session on Friday. The shares had closed the regular session 1.60% lower at $54.16.

Walmart shares traded 0.76% higher at $108.50 in the after-hours session on Friday. The shares had closed the regular session 2.45% lower at $107.68.