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wanlord
wanlord
9/16/2017 | 11:48:26 PM
Re: Not as easy as it looks
I disagre that they were dealt a poor hand. VZ is much more than just an offspring of baby bells and had plenty of chances to improve their hand over the years as they were formed from merging BA and GTE and then pulling in MCI, creating VZW with their Vodaphone partnership and then fully owning it. Although their choices to spin off FiOS in some regions, and then waste money on Go90, and now with AOL and Yahoo, I think they have done an okay job staying relevant. They just need to understand they are not going to compete with Google, Facebook, Netflix and work on disrupting some other industry, including their own..
KBode
KBode
8/21/2017 | 7:02:08 PM
Re: Not as easy as it looks
"It is easy to say ignore the Wall Street gang but most companies, especially leveraged comapnies like VZ, have to sometimes swallow their pride to make the finance folks happy. "

 

That may be true, but I can't help but laugh at the fact that ten years ago, Wall Street yelled at any major ISP that dare put money back into the network. Now, Wall Street is punishing telcos that actually listened to them. Note the ILEC stock dips the last few weeks. Damned if they do...
FbytF
FbytF
8/15/2017 | 4:16:06 PM
Not as easy as it looks
I think VZ's problems in video are directly related by the decision to stop expanding the FiOS footprint. Without the subscriber base it's difficult to leverage the content providers. I'm so old I have (had) a landline from VZ until this month. I was paying $70/month for voice from VZ because I didn't want to give anymore business to those losers at Comcast. I used to laugh, every month my VZ bill had an advertisement to add 1.5M DSL service for $29/month. WTF orders 1.5M DSL service!!! Unfortunately I got tired of waiting for VZ to come up with something better and regretfully switched my voice over to Comcast, first time in my adult life I'm not a customer of Verizon but its like they really don't want anything but wireless business anyway.
bosco_pcs
bosco_pcs
8/15/2017 | 1:55:53 PM
Re: Not as easy as it looks
In a way, VZ, as the offspring of the baby bell, was dealt a poor hand. 

Mind you, it was an ILEC with all sort of legacy problems facing CLEC challenges before the telecom bubble. When I was there, even though I worked for the unregulated tech sub, it still had to deal with a lot of issues like unions etc.

Look at the legacy airlines, they all went through bankruptcies and consolidations. So VZ, T and even CBB have been doing reasonably well, all things considered. 

It is easy to say ignore the Wall Street gang but most companies, especially leveraged comapnies like VZ, have to sometimes swallow their pride to make the finance folks happy. Why? Do you know their cost of doing business will rise or fall, sometimes quite dramatically, when their credit ratings are lowered or raised? Frontier is facing a squeeze right now as we speak. Softbank's Son Sen is paddling Sprint so hard for the same reason.

So while most of us who post here on LR are techies, we can't escape the influence of money
KBode
KBode
8/15/2017 | 1:21:47 PM
Re: Not as easy as it looks
"However, maybe the company has deeper problems."

I think this company spent thirty years focused on legacy turf protection and lobbying, and now has absolutely no idea how to innovate or disrupt. I'm not sure buying up failed 90s internet brands and simply declaring yourself on par with Facebook and Google is the answer.

I've long thought they should stick to their core competency of running excellent networks, but that's not enough to please the bottomless stomach of Wall Street investors. 
bosco_pcs
bosco_pcs
8/14/2017 | 4:56:38 PM
Re: Not as easy as it looks
Perhaps that is why VZ bought AOL and Yahoo assets. For both content and adtech. However, maybe the company has deeper problems. If you takes a big picture view, it has gone through many strategies. FiOS was hot for a while but it also tried to maximize its copper asset with DSL. Then it decided to do away with wireline and bought out its wireless JV from VOD. Unitl wireless is saturated! In the meantime, it unloaded some wireline including FiOS to Frontier. 

Perhaps its only decisive run is to roll out 4G quickly, forcing AT&T to react - which might be the reason of the ill fated attempt to buy out T-Mobile - and putting Sprint and other smaller regionals in a competitive disadvantage.

Its confusing moves can also affect content deal negotiations since its potential "partners" might be wary of its jerky moves (just a conjecture though).

In comparison, after its failed attempt to buy T-Mobile, AT&T has been consistent and aggressive in its move in contents, first as a carrier with DirecTV acquisition and now a true provider with TWX. It makes itself formidable in negotiation of deals but more importantly - predictable.
Michelle
Michelle
8/14/2017 | 1:30:17 PM
Not as easy as it looks
Negotiating content deals is apparently a lot harder than it looks. I can see how negotiations might slow down a video business like this one.


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