Verizon to merge with FairPoint in New England, Midwestern states

For you lucky folks in New England who just got access to Verizon's 50Mbps FiOS services, you didn't think those hefty upgrades were sans a cost, did ya? Sure, Verizon's socking it to the high-end customers on that monthly bill, but the huge implementation costs ($18 billion, to be exact) of running all that fiber has persuaded Verizon to "sell the New England landline business as well as lines in several Midwestern states" to get a whopping $1.7 billion in debt wiped from its slate. The purpose of the merger is to free up assets to continue full speed ahead with its extremely costly FiOS rollouts, and since Verizon is intelligently targeting the largest markets (read: most lucrative) first, it's leaving the rural spots for FairPoint to handle. Nearly 3,000 Verizon employees will now be receiving checks from the Charlotte, NC-based FairPoint, with about 600 more expected to switch after the deal is completed. Additionally, shareholders will receive $1 billion of FairPoint common stock in the merger, as both companies attempt to keep everyone smiling throughout the process. If everything goes as planned, which typically never happens in these type deals, the merge will be complete "by year's end," so if you're content with Verizon services up in New England or the Midwest, don't be alarmed if "some FairPoint bill" starts showing up in your mail. [Warning: Read link requires subscription]

[mike @ Jan 16th 2007 9:03PM]

I think I read this right... Verizon is "merging" it's customers in the FairPoint areas with FairPoint? That sounds like they are cutting their losses in that area and selling it's customers...

Seriously? ATT is getting ready to turn up the heat and Verizon is selling off it's customers? Did I read this right?

[Tape @ Jan 16th 2007 9:23PM]

of course, the "large markets" do not include the city of Boston or any of its immediate neighboring towns. the closest municiality to Boston that has FiOS is about 20 miles away.

how about the largest market, jerks? I hate Verizon.

[phybertek @ Jan 16th 2007 9:49PM]

Tape, Fios is in Dorchester as we speak which is less than 5 miles away from Boston

[ShortFuse @ Jan 16th 2007 9:27PM]

Cablevision's optimum, $40 a month, 30mbps download, 5mbps upload. port 80 and port 25 access opened your own domain, webserver and email server

what's that verizon, FIOS for how much?

[Insder @ Jan 16th 2007 10:00PM]

I'm sorry, I didn't know Verizon FIOS 20/5 in MA at 39.95 caps port 25? And Port 80? Get a business connection or a no-ip redirect from 8080. At least my upload is useable without being capped.

[boston @ Jan 16th 2007 10:15PM]

Tape, I live in Newton and have had verizon fios for a loooong time. actually tomorrow I'm getting fios tv installed!

[Bye Bye Verizon @ Jan 17th 2007 1:29AM]

http://www.engadget.com/2007/01/12/verizon-increases-sms-rates-customers-now-free-of-their-contr/

[Ed @ Jan 17th 2007 6:48PM]

I live in Mahattan NYC and my only crappy options are 768k DSL or 5MB $60 a month Time Warner. So i'm hoping Cablevision buys Time Warner already or verizon brings Fios here a.s.a.p.

[Jason @ Jan 19th 2007 9:58AM]

My Cablevision Optimum Online Boost 30mbps connection is pretty awful. I would switch to Fios in a heartbeat to get away from shitty old cables routed all over the place.