Claiming that Verizon Communications has always operated under an open Internet policy, company EVP and CFO Fran Shammo said today that he is confident the FCC will make the right decision regarding net neutrality. However, he added that if the regulation should pass, he is concerned that it will create a very litigious environment.
Verizon Enterprise has bolstered its business unit by expanding its relationship for five years with existing customer JetBlue Airways, giving the unit a much needed boost at a time when businesses are being conservative about spending money on communications infrastructure.
Verizon may have continued to add more FiOS Internet and video customers in the third quarter, but those gains were lower than what it reported in the same period a year ago, illustrating that it is continuing to reach the upper limits of penetration in its existing 13-state region.
Verizon Communications is not going to bid for assets that América Móvil is going to sell off, according to CFO Fran Shammo. Meanwhile, thanks to rules being put in place by Mexico's telecommunications regulators, AT&T could face hurdles if it decides to acquire some of the assets.
Verizon Communications plans to increase the price of its FiOS Video service in the fourth quarter to offset the hike in content licensing fees that will go into effect Jan. 1, said a top executive today. Speaking to investors during Verizon's third quarter earnings call, company EVP and CFO Fran Shammo said that the FiOS Video price hike is something the company did in fourth quarter 2013 and it will do again in 2014.
Verizon Wireless added more postpaid subscribers in the third quarter than financial analysts had expected, and the growth was again largely driven by tablet activations, not phones. Just as it did in the second quarter, in the third quarter Verizon relied heavily on tablet activations for the vast majority of its subscriber additions.
CenturyLink is seeking to shut down its legacy Frame Relay and ATM services in both its Embarq and CenturyTel affiliate regions, reflecting the service provider industry's ongoing shift to IP-based Ethernet business services. It filed a similar application for its Qwest affiliate last year.
Verizon Communications has hired TAP Advisors LLC to look into a sale of network assets including its cell towers, according to a Reuters report.
Verizon Communications was opened up to the possibility of selling its wireless towers because of AT&T's agreement last year to sell and lease 9,700 of its cell towers to Crown Castle in a $4.85 billion deal, according to Verizon Communications CFO Fran Shammo. Financial analysts think that Verizon has around 12,500 to 15,000 towers and could be looking to sell a substantial portion of those.
Verizon Wireless is talking to content owners about the possibility of delivering their content over its LTE multicast network, but the sticking point appears to be the business model. Speaking at the 2014 Bank of America Merrill Lynch Media Communications and Entertainment Conference, Verizon Communications CFO Fran Shammo said that the company is currently talking to content providers but that there is "lots of work to be done on that ecosystem."