Straight Talk is an affordable prepaid mobile phone service that is available for those who don’t want to sign a service contract. And while Straight Talk used to partner with Mobile, AT&T, and Verizon to provide cell service to its customers, there is talk that Verizon now owns the company. So let’s find out right now if Verizon owns Straight Talk.
Verizon does own Straight Talk. Verizon purchased Tracfone for $7 million at the end of 2021, and because Tracfone owned Straight Talk, it is now under the Verizon umbrella.
If you want to understand why Verizon bought Straight Talk, how the company has changed under new ownership, and so much more, read on! We have all the details you need about the Verizon and Straight Talk service company.
When & Why Did Verizon Buy Straight Talk?
Verizon has not always owned Straight Talk. In fact, the mobile service company only acquired Straight Talk at the end of 2021.
It’s also important to understand that Verizon didn’t technically buy Straight Talk; it bought Tracfone, a much larger company that also owned Straight Talk.
With an incredible payout of $7 million, Verizon now owns every company that Tracfone used to own, but why did it shell out so much for the company?
While Verizon claims that they purchased Tracfone, and consequently Straight Talk, to be able to provide more services for their growing customer base and expand on the current offerings of the company, the truth is that Tracfone was worth a whole lot of money ($8.1 billion in annual revenue to be exact.)
There’s no doubt that Verizon has become one of the biggest mobile service providers in the country by making smart purchases, and Tracfone was definitely a great choice for the company.
But now, it’s time to talk about how this purchase changed Straight Talk.
Has Straight Talk Changed Now That Verizon Owns It?
One of the most important things to understand as a Straight Talk consumer is that now that Verizon owns the company, there has been one big change: Service.
Straight Talk used to use towers from major companies such as Verizon, AT&T, T-Mobile, and Sprint to provide service to its customers.
However, now that Verizon owns it, Straight Talk lines connect exclusively and consistently to Verizon towers, which offer far better and more consistent mobile data service.
And this isn’t just a rumor; straight Talk customers have already noticed the difference and have reported that both uploading and downloading on their phones are now sufficiently faster than they were last year.
Also, customers should be aware that under the Verizon umbrella, Straight Talk customers will continue to receive the benefits of 5G and LTE upgrades just like Verizon customers do.
Will Straight Talk Get More Expensive Under Verizon?
Straight Talk users have always loved the affordable price point of the company’s prepaid data plans. And while Verizon is extremely popular, it has never been known as a budget option for mobile services.
So now people are wondering: Will Straight Talk get more expensive under Verizon? And while we can’t know for sure, most reports agree that Verizon will likely keep Straight Talk prices the same (or at least let them increase naturally over time as almost all services do.)
Verizon will likely continue to use Straight Talk as a subsidiary through which it can make money on a different target audience than those who pay annually for its services.
Again, no one can predict the future, but if you are a Straight Talk user, don’t worry. It’s highly unlikely that the prices or the services will change drastically, even now that Verizon owns the company.
Can You Still Use Straight Talk on an AT&T Phone?
Another question on everyone’s mind now that Verizon owns Straight Talk is whether or not you can still use a Straight Talk SIM card on an AT&T phone.
And while yes, you can still use Straight Talk on an AT&T phone, you will need to get it unlocked (just as you used to) in order to do so.
Luckily, Straight Talk provides detailed instructions on how to do so on its website.
The Bottom Line
Now you have the complete guide to whether or not Straight Talk is owned by Verizon!
But just in case you already forgot: Verizon does own Straight Talk. The large mobile service company purchased Tracfone in 2021 and, therefore, acquired Straight Talk as well.
Although it’s too soon to say if Verizon will make any big changes, such as in pricing, in its new subsidiary, customers are already noticing that the Straight Talk service is much better than it was before!
