July 23 (Reuters) - AT&T ( T ) beat quarterly profit estimates

and added more wireless subscribers than expected as customers

flocked to its discounted bundles combining 5G mobile and

high-speed fiber plans.

The U.S. telecom giant added 401,000 net monthly

bill-paying wireless phone subscribers in the second quarter, it

said on Wednesday, flying past FactSet estimates of 295,700.

Rival Verizon lost 9,000 customers during the same

period.

AT&T ( T ) also disclosed plans to invest about $3.5 billion from

savings unlocked by the Trump administration's new tax law to

accelerate its fiber network build-out, a critical growth area

as the wireless market saturates and internet usage surges.

The tax law allows companies to immediately write off the

full cost of certain new equipment and boosted annual forecast

at Verizon on Tuesday.

Savings from the law could help wireless carriers better

challenge broadband giant Comcast ( CMCSA ), which has also been

making inroads into wireless.

AT&T ( T ) expects to save $6.5 billion to $8 billion in cash

taxes through 2027 under the new tax reforms, and now projects

free cash flow to be about $1 billion higher than previously

forecast for both 2026 and 2027.

The company added 243,000 fiber customers.

AT&T ( T ) said it expects the acquisition of Lumen's mass markets

fiber business, set to close in the first half of 2026, to

propel it to more than 60 million fiber locations by the end of

2030.

It reported revenue of $30.8 billion, beating estimates of

$30.50 billion, according to data compiled by LSEG. Adjusted

earnings per share of 54 cents also surpassed expectations of 51

cents.

Mobility revenue grew 6.7%, driven by subscriber gains and

higher wireless device sales volumes.