“One, we expect capital investments to be about $1 billion lower in the second half of the year after peaking in the first half.”

In context

“ear to date. This reflects continued historically high levels of investment in 5G and fiber. We expect to move past peak capital investment levels as we exit the year. We feel really good about free cash flow of $4.2 billion in the quarter. For the first half of 2023 compared to the first half of 2022, free cash flow was up about $1 billion and we expect our cash generation to accelerate from here. We delivered this year-over-year growth in the first half despite about $8 billion lower DIRECTV cash distributions and roughly $7 billion in lower net impact of sales of receivables. We expect free cash flow of about $11 billion for the remainder of 2023 weighted towards the fourth quarter. Here are the factors driving this acceleration of free cash flow relative to the first half performance. One, we expect capital investments to be about $1 billion lower in the second half of the year after peaking in the first half. Two, we anticipate device payments to be about $4.5 billion lower than the first half of the year. Three, the first half of the year included more than $1 billion of annual incentive compensation payments that won't repeat in the second half. Four, and as I mentioned earlier, we expect full year adjusted EBITDA growth of more than 3%. And lastly, we expect other working capital improvement of roughly $1 billion in the second half of the year relative to the first half of the year, including higher non cash amortization of deferred acquisition costs. These improvements are expected to be partially offset by lower cash distributions from DIRECTV of about $500 million in the second half of the year relative to the first half. And cash tax is about $1 billion higher in the second half of the”