We hope Verizon (VZ) boss Ivan Seidenberg doesn’t get his business news from French newspaper Le Monde, or he might have had a small stroke this week. In an article about French cable operator Numéricable, Le Monde apparently reported that Verizon was going to halt its $24 billion FiOS fibre-optic project because it was too expensive and too slow to roll out. Dug up today by DSLreports, and translated by Fiberevolution:
Comcast, the biggest cable-operator in the US, remains faithful to this hybrid fibre-cable architecture, while telecoms operator Verizon has just announced that it would stop installing optic fibre to the end-customer. Too slow, too expensive. Recruitment cost of a single subscriber was estimated at 5 000 dollars (3 170 euros) but valued only at 3 400 dollars.
Yikes! Verizon, of course, is still building out its fibre-optic network as planned, and is well on the way to getting approval to sell FiOS TV service in New York City, the biggest U.S. TV market. At the end of Q1, Verizon had 1.2 million FiOS TV subscribers.
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