If you’ve peeked at the headlines lately, you’re likely seen all the news about tariffs. With the cost of everything from the Nintendo Switch to Stanley cups potentially set to skyrocket, consumer economic uncertainty over inflation and price increases has followed suit.
However, some internet service providers (ISPs) have responded to this trend by doubling down on one savings tool in particular: cell phone and internet service bundles.
In the past few months, providers like Xfinity, T-Mobile, Spectrum, Optimum, and Verizon have rolled out aggressive price guarantees and deals to encourage shoppers to consolidate their service plans. For shoppers worried about uncertain future budgets, a bundle that’ll trim their bill and be price-locked for years has clear appeal.
Notably, millennials and Gen Z consumers have been very receptive to these deals. According to CableTV.com’s 2025 Internet Customer Satisfaction Survey, 67% of Gen-Z respondents and 48% of millennial respondents bundled their cell phone and internet service.
Why have younger shoppers gravitated towards cell phone and internet bundles? We dove into the stats, and here’s what we found out.
What makes Gen-Z, millennial shoppers bundle cell phone and internet
Unfortunately, millennials and zoomers have one thing in common when it comes to their cell phone and internet budget: they can’t afford as much as older shoppers.
- 43% of CableTV.com Gen-Z survey respondents had a high school diploma, and 18% of millennial respondents had a college degree.
- 39% of Silent Generation respondents and 35% of Baby Boomer respondents held a college or postgraduate degree, compared to 26% of millennials and 18% of zoomers.
- According to the U.S. Census Bureau’s 2023 data, only 37% of zoomer-led households had a total annual income of more than $99,000, compared to 55% of Gen X-led households.
- Parents of millennials and zoomers, look away: 57% of millennial respondents and 86% of Gen Z respondents reported being single.
Essentially, younger shoppers are typically buying services for themself, they’re earlier in their careers, and need deals like bundle savings or device financing to cover their cell phone plans. Among the millennial and Gen Z shoppers we spoke to, price heavily outweighed having features like faster 5G speeds and unlimited data.
“[I chose Spectrum Mobile] because they have awesome internet service and cell phone service,” said Alisha U., a millennial survey respondent from Texas. “The bill’s actually not bad either—it’s not high [and] it’s kind of cheap for internet and cell phone [service].”
This trend is tied to how effectively ISP cell phone plans have narrowed the gap against major carriers. If you look at base features like data caps, standard 5G support, and phone call minutes, ISP and major carrier plans cover virtually the same territory. Similarly, this is partially why major carriers like Verizon and T-Mobile have introduced features like full unlimited data and streaming service discounts. When every ISP carrier uses your network and provides phone service that’s fast enough for TikTok, you have to find new margins to separate yourself from the competition.
What do millennial/Gen Z bundlers think about their cell phone/internet bundles?
Unsurprisingly, Gen Z and millennials are huge fans of their cell phone and internet bundles. In our polling, both demographics led the pack for overall service and price satisfaction.
But interestingly, they were also the most picky when it came to service quality. Gen Z and millennial respondents had the highest disapproval ratings for their carriers’ reliability.
We’d attribute these trends to cell phone habits among generational lines. If you’re constantly using your cell phone throughout the day, you’ll be more likely to notice when it’s not up to snuff. Another potential culprit is data prioritization, which refers to how ISP cell phone traffic is more liable to be throttled compared to customers on major carriers.
But considering bundles’ strong approval ratings among Gen Z and millennial respondents, they likely don’t consider these issues to be dealbreakers. These were some of our additional takeaways.
- Gen Z (73%) and Silent Generation (76%) respondents had similarly low approval ratings for cell service reliability.
- Nearly half of polled zoomers and millennials said they noticed dropped calls or slow speeds during busy periods.
- On the other end, only 9% of Silent Generation respondents reported experiencing similar problems with their cell phones.
How ISPs have pivoted for younger bundlers
Providers have also responded to the price consciousness of younger shoppers. A recent survey from Optimum found that among respondents aged 18–39, 74% would consider a cell phone and internet bundle, and 81% felt that bundling cell phone and internet service is more cost-effective than using separate providers.
ISP-affiliated cell phone brands, such as Optimum Mobile, Xfinity Mobile, and Spectrum Mobile, have made their mark by offering affordable cell phone service and introductory bundle pricing that starts at around $50 per month. These plans use the networks of carriers like Verizon and T-Mobile, so customers can still get comparable service for a fraction of the price of the major providers. However, providers like Xfinity and Spectrum require you to get an internet plan to qualify for their lower cell phone rates.
According to Gabriel Torres, Vice President of Mobile Product Management at Optimum, several factors are driving the interest in bundling among younger consumers.
“The growing reliance on digital technology in everyday life, from social media engagement to online learning and remote work, fuels the demand for comprehensive connectivity solutions,” said Torres. “Additionally, the desire for cost-effective options that simplify billing and provide added value is a significant motivator for consumers when choosing bundled services.”
5G home internet from carriers like Verizon, T-Mobile, and AT&T has become an easy way for mobile carriers to onboard younger bundlers. 36% of Gen Z survey respondents reported using a 5G home internet plan, which beat out other age groups in our polling by around 10 percentage points. Along with their standard internet and cell phone bundle discounts, all three providers also offer student discount programs that let young adults stack internet and cell phone savings.
What keeps shoppers away from cell phone and internet bundles?
For as much as ISPs have leaned into cell phone bundles as an untapped market, they still face one major challenge: shoppers who prefer separate cell phone and internet plans. Awareness hasn’t been the problem, as the majority of shoppers we spoke to knew about cell phone and internet bundles.
But convincing shoppers to drop their old cell phone provider remains a challenge for ISPs. Among our survey respondents, we had a roughly even split between cell phone bundlers and non-bundlers. And among the shoppers we spoke to, their reasons for staying with separate providers ranged from better pricing and international coverage to disliking their current ISP.
“My internet provider offers, by far, the best internet access available,” said millennial respondent Scott H. “They are also completely abhorrent people. Accordingly, I use them as little as possible.”
What bundling trends mean for ISPs and customers
For ISPs and carriers, it’s easy to see why they’re relying on bundling as a tool to fight against recession concerns. With cable ISPs, aggressive cell phone bundle discounts are a way to stem subscriber losses to fiber or 5G competitors and keep customers around. Similarly, cell phone bundles allow ISPs to engage subscribers who are wary of inflation and otherwise unlikely to increase their internet spending.
What does this mean for internet and cell phone shoppers? For once, expect service shopping to be a buyer’s market as ISPs and carriers compete with aggressive bundle packages that have features like free cell phone service, unlimited data, and no-contract agreements. If you’re on the market for a new cell phone and internet provider, prepare for great deals as ISPs look to hold down the fort through an uncertain economic climate and grow their wireless market share.
