According to a press release, Verizon and Snap, Inc., the creator of Snapchat, have teamed up to create new augmented reality (AR) tools and experiences.

The deal gives Snap access to 5G test equipment in Verizon’s labs, which the company can use to create and test boundary-pushing AR experiences that take full advantage of 5G speeds. Snap will also have its software preloaded on some Verizon 5G phones. This will likely lead to a large influx of new customers for Snap, and help it cement its spot in the AR race. Verizon, in turn, will have premium sponsorship placements in Snap Originals.

“5G will change the way people live, work and play and we’re partnering with leading companies like Snap Inc. to create unique experiences and new offerings,” said Frank Boulben, Senior Vice President of Marketing & Products, Verizon Consumer Group. “Our strategy is to partner with the best brands to ensure our customers have exclusive access to cutting edge technology and services. Our 5G Ultra Wideband technology should change the way mobile users forever experience places and events, evolving the way they see the world.”

“Major advances in high-bandwidth experiences are fueling the future of augmented reality,” said Jared Grusd, Chief Strategy Officer, Snap Inc. “We are thrilled to partner with Verizon to move the industry forward through the development of creative and innovative 5G experiences on Snapchat.”

Snap will also benefit from the many live events Verizon sponsors and hosts, providing AR experiences and introducing countless event-goers to the benefits of AR. Verizon alluded to the possibility by highlighting the potential “opportunities to experience live events in new ways through Snapchat.”

This new partnership highlights the importance of the technology to old and new companies alike.