Verizon: NY Grounding Grind Cost $30M

Telco says it shelled out big bucks to correct FiOS installation issues in New York and now it wants to conclude its review process

Phil Harvey, Editor-in-Chief

December 2, 2010

2 Min Read
Verizon: NY Grounding Grind Cost $30M

After spending two years and more than $30 million to make sure its FiOS installations in New York were properly grounded per the National Electrical Code, Verizon Communications Inc. (NYSE: VZ) has informed the New York Public Service Commission that it will wind down its Network Review Plan.

In a letter to NYPSC secretary Jaclyn A. Brilling, Verizon's lawyer Keefe B. Clemons writes that even though "some locations are not fully compliant with applicable grounding requirements" the carrier is addressing some really bad spots, and says the others just aren't dangerous.

Clemons writes that "many of the non-compliance findings, even if arguably justifiable... relate to minor deviations that should not be a cause for concern either to Verizon’s customers or to the Commission."

Why this matters
Though it looks like a cable conspiracy, the NYPSC takes credit for finding the ground faults in Verizon's FiOS installations. Its public affairs director, in an email to Light Reading, notes that in 2006 the NYPSC staff "found a high degree of noncompliance with the applicable NEC standards for grounding and bonding. In response, the Commission commenced a proceeding as direct result of staff's due diligence and interest in safeguarding the public."

Outside the NYPSC, Verizon's grounding issues are watched with interest by cable competitors, who are keen to see FiOS rollouts cost Verizon more money and, perhaps, slow down its march into their territories with fiber optic-fed broadband services. Clemons's letter marks the first time Verizon has publicly put a figure on how much the whole code compliance setback has cost in hard dollars.

For more:

  • Burning Questions About FiOS

  • Photos: 40 FiOS Grounding Gaffes?

  • Verizon Foes Ground & Pound in New York

  • NYPSC Sets Verizon Meeting



— Phil Harvey, Editor-in-Chief, Light Reading

About the Author(s)

Phil Harvey

Editor-in-Chief, Light Reading

Phil Harvey has been a Light Reading writer and editor for more than 18 years combined. He began his second tour as the site's chief editor in April 2020.

His interest in speed and scale means he often covers optical networking and the foundational technologies powering the modern Internet.

Harvey covered networking, Internet infrastructure and dot-com mania in the late 90s for Silicon Valley magazines like UPSIDE and Red Herring before joining Light Reading (for the first time) in late 2000.

After moving to the Republic of Texas, Harvey spent eight years as a contributing tech writer for D CEO magazine, producing columns about tech advances in everything from supercomputing to cellphone recycling.

Harvey is an avid photographer and camera collector – if you accept that compulsive shopping and "collecting" are the same.

Subscribe and receive the latest news from the industry.
Join 62,000+ members. Yes it's completely free.

You May Also Like