Verizon/MCI Commentary

As regards any major news impacting our industry, I try to reach out and solicit commentary from insiders and people who make a living thinking about telecom. Mike McCue of Schooley Mitchell Telecom Consultants is a member of the Society of Telecommunications Consultants. Here's what he had to say on the announced Verizon/MCI deal and its effect on VoIP:

During a recent client engagement I contacted Verizon to order some service changes.  During that process and the discussion about contract options, I asked about Verizon's IP Centrex plans and if their current contract would allow a mid-term transition to that service.  The customer service rep assured me that their VOIP service was not a reliable product and should be avoided.  Further discussion of the service made clear that she did not have any experience or training on VOIP products.

Will the acquisition of MCI by Verizon impact VOIP?  I expect the current trend to continue; profitable Telco's will offer it as a me-too product with limited availability and even more limited sales/support capability.  Meanwhile the greenfield companies (Vonage, Packet 8, VoicePulse, etc.) will build and refine this market then be acquired in a future consolidation.