Early in 2016, Verizon landline customers on the Hill should expect Frontier Communications of Connecticut to take over their phone service.
The two corporations announced the purchase in February 2015. For about $10.5 billion, Frontier will acquire Verizon’s wire-line operations in California, Florida and Texas, which serve about 3.7 million voice customers and 2.2 million high-speed data customers. Nearly 54 percent of the network is fiber optic, according to the press release when the transaction was announced.
Frontier will offer customers the company’s full portfolio of products and services, including broadband services, wire-line local and long-distance phone service, video viewing options, and innovative products and services such as Frontier Secure, an industry-leading digital security offering that provides customers with online computer and personal identification protection and 24/7 technical support, as well as hard-drive backup.
The Federal Communications Commission approved the deal in September and it is expected to close before April 2016. The California Public Utilities Commission is still deliberating the sale.
After the FCC approval was announced, Michael Glover, a Verizon senior vice president and deputy general counsel said, “… the transaction does not present market competition issues. With these approvals in hand, we look forward to promptly receiving the remaining regulatory approvals in the coming months.”
Responding for Frontier, Daniel J. McCarthy, president and chief executive officer said, “… The FCC views this transaction as being in the public interest and benefiting customers in the three acquired states. … By doubling our size, we will add scale and scope to our operations, strengthen our product and service offerings, and improve the customer experience. We look forward to demonstrating our commitment to broadband investment and deployment in California, Florida and Texas.
“Soon, consumers and businesses in these states will benefit from our extensive experience, our high-touch local engagement management model, the focused use of the fiber-rich network, and our active involvement in the communities we serve.” McCarthy added, “Our goal is to deliver the life-changing benefits of broadband to an additional 750,000 households at speeds of 25Mbps/2-3Mbps across the entire Frontier multi-state footprint, including California, Florida and Texas, by the end of 2020.”
Verizon disposed of these properties because its strategy will concentrate on wire-line/wireless operations on the East Coast and the fiber optics market, according to its press release.