Verizon To Offer $20 Broadband In California To Obtain Merger Approval (arstechnica.com)
(Tuesday September 16, 2025 @05:20PM (BeauHD)
from the red-light-green-light dept.)
- Reference: 0179297536
- News link: https://tech.slashdot.org/story/25/09/16/1950246/verizon-to-offer-20-broadband-in-california-to-obtain-merger-approval
- Source link: https://arstechnica.com/tech-policy/2025/09/verizon-to-offer-20-broadband-in-california-to-obtain-merger-approval/
An anonymous reader quotes a report from Ars Technica:
> Verizon [1]agreed to offer $20-per-month broadband service to people with low incomes in California in exchange for a merger approval. In a bid to complete its [2]$9.6 billion purchase of Frontier Communications, Verizon committed to offering $20 fiber-to-the-home service with symmetrical speeds of 300Mbps. Verizon also committed to offering a $20 fixed wireless service with download speeds of 100Mbps and upload speeds of 20Mbps. Verizon would be required to offer the plans for at least 10 years, according to a [3]joint motion (PDF) to approve the settlement agreement. After three years, Verizon would need to "make commercially reasonable efforts" to increase the speeds "while retaining the $20 price point."
>
> The joint motion filed by Verizon and the California Public Advocates Office seeks approval from the California Public Utilities Commission (CPUC). The $20 plans would be available to people who meet income eligibility guidelines and can be paired with Lifeline discounts. "My team required those options to be California Lifeline eligible, which effectively makes it free for low-income Californians throughout the state," wrote Ernesto Falcon, a program manager at the Public Advocates Office. California's Lifeline program provides $19 discounts. Falcon also wrote that the settlement would expand fiber deployment beyond what Frontier would have offered on its own. "If the merger is approved, Verizon will deliver 75,000 new fiber-to-the-home connections in California beyond Frontier's entire buildout plan with a priority for low-income households," he wrote. The deal also requires 250 new cell sites for Verizon's 5G network.
[1] https://arstechnica.com/tech-policy/2025/09/verizon-to-offer-20-broadband-in-california-to-obtain-merger-approval/
[2] https://tech.slashdot.org/story/24/09/05/1924223/verizon-to-buy-frontier-for-96-billion-says-it-will-expand-fiber-network
[3] https://docs.cpuc.ca.gov/PublishedDocs/Efile/G000/M578/K765/578765845.PDF
> Verizon [1]agreed to offer $20-per-month broadband service to people with low incomes in California in exchange for a merger approval. In a bid to complete its [2]$9.6 billion purchase of Frontier Communications, Verizon committed to offering $20 fiber-to-the-home service with symmetrical speeds of 300Mbps. Verizon also committed to offering a $20 fixed wireless service with download speeds of 100Mbps and upload speeds of 20Mbps. Verizon would be required to offer the plans for at least 10 years, according to a [3]joint motion (PDF) to approve the settlement agreement. After three years, Verizon would need to "make commercially reasonable efforts" to increase the speeds "while retaining the $20 price point."
>
> The joint motion filed by Verizon and the California Public Advocates Office seeks approval from the California Public Utilities Commission (CPUC). The $20 plans would be available to people who meet income eligibility guidelines and can be paired with Lifeline discounts. "My team required those options to be California Lifeline eligible, which effectively makes it free for low-income Californians throughout the state," wrote Ernesto Falcon, a program manager at the Public Advocates Office. California's Lifeline program provides $19 discounts. Falcon also wrote that the settlement would expand fiber deployment beyond what Frontier would have offered on its own. "If the merger is approved, Verizon will deliver 75,000 new fiber-to-the-home connections in California beyond Frontier's entire buildout plan with a priority for low-income households," he wrote. The deal also requires 250 new cell sites for Verizon's 5G network.
[1] https://arstechnica.com/tech-policy/2025/09/verizon-to-offer-20-broadband-in-california-to-obtain-merger-approval/
[2] https://tech.slashdot.org/story/24/09/05/1924223/verizon-to-buy-frontier-for-96-billion-says-it-will-expand-fiber-network
[3] https://docs.cpuc.ca.gov/PublishedDocs/Efile/G000/M578/K765/578765845.PDF
If I had to bet (Score:2)
by MpVpRb ( 1423381 )
I would bet they are lying
They will never install fiber in my area
Re:If I had to bet (Score:4, Insightful)
by nightflameauto ( 6607976 )
> I would bet they are lying They will never install fiber in my area
Even if it even exists, I would expect the $20 rate will be deemed non-viable within a few months of implementation. Everyone knows government contracts have zero teeth for enforcement against corporate entities.
Re:If I had to bet (Score:4, Informative)
by Tony Isaac ( 1301187 )
The offer will be valid for the life of the merger negotiations. Once it's done and the Feds have signed off, they'll do whatever they want.
No more mergers, at all. (Score:1)
I've really come around to this idea that we should simply stop any mergers or acquisitions by businesses, full stop. I don't think any major merger in my lifetime has ended actually postitively to where we can all say "wow, sure glad that happened!". Have we ever seen the lower prices promised?
Want to make a business then you make your business to be a self sustaining entity and not just have the end goal of being purchased.
License your tech if you want to join forces. Gone bankrupt and another company
Re: (Score:1)
> I've really come around to this idea that we should simply stop any mergers or acquisitions by businesses, full stop. I don't think any major merger in my lifetime has ended actually postitively to where we can all say "wow, sure glad that happened!". Have we ever seen the lower prices promised?
> Want to make a business then you make your business to be a self sustaining entity and not just have the end goal of being purchased.
> License your tech if you want to join forces. Gone bankrupt and another company wants your assets? They can buy it then but that's it.
Yup. We're well past the point where the resulting economies of scale benefit the consumer. In late-stage capitalism, economies of scale benefit the corporation and only the corporation.
Re: (Score:2)
> I've really come around to this idea that we should simply stop any mergers or acquisitions by businesses, full stop. I don't think any major merger in my lifetime has ended actually postitively to where we can all say "wow, sure glad that happened!". Have we ever seen the lower prices promised?
> Want to make a business then you make your business to be a self sustaining entity and not just have the end goal of being purchased.
> License your tech if you want to join forces. Gone bankrupt and another company wants your assets? They can buy it then but that's it.
> I've really come around to this idea that we should simply stop any mergers or acquisitions by businesses, full stop. I don't think any major merger in my lifetime has ended actually postitively to where we can all say "wow, sure glad that happened!". Have we ever seen the lower prices promised?
> Want to make a business then you make your business to be a self sustaining entity and not just have the end goal of being purchased.
> License your tech if you want to join forces. Gone bankrupt and another company wants your assets? They can buy it then but that's it.
I'd be fine with an upper limit on merger size. Like if the total assets of the merger pass a certain million dollar mark, block that shit hard. But it'd be nice to leave the market as free as it can be at the smaller scale. If some mega-conglomerate wants to buy ma & pa's popcorn stand, blocked because of total assets of the resulting entity. If ma & pa's popcorn stand wants to buy Jim Bob's Burgers down the street, no big whup, let 'er buck.
Re: (Score:2)
What you speak is the truth and it made someone with mod points angry.
Name a merger that benefited consumers.