Last year, Verizon agreed to buy Vodafone's 45% stake in Verizon Wireless for a whopping $130 billion which will give Verizon full control over its wireless operations. According to FierceWireless, Verizon will finally close the deal on February 21. Verizon Wireless' long successes in the U.S wireless market has attracted Verizon to acquire them. It might also be due to the pressure from its rivals in the market. T-Mobile is offering to pay customers early termination fees if they switch to T-Mobile, AT&T is providing discounts on its Mobile Share family plan, and Sprint recently started offering the cheaper “Framily” plan. As a result, Verizon is also hoping to profit from its acquisition of Verizon Communications and compete efficiently in the market.
According to Roger Entner, an analyst with Recon Analytics, “they're going to share even more beyond what they were able to do previously. There was quite a bit that you were forced to duplicate because they were different companies”.
‘One Verizon' will be formed as a result of the merge between ‘Verizon Communications' and ‘Verizon Wireless' said Verizon CEO Lowell McAdam. The services that will be provides by One Verizon hasn't been stated yet, but McAdam hinted at “mobile commerce, mobile video and advertising, which includes over-the-top and of course cloud services”. One Verizon can combine different departments to save more money as well as efficiently unify its resources.
Source: FierceWireless
