Verizon's Seidenberg: MCI Merger Is Your Friend

Verizon CEO Ivan Seidenberg testified before the U.S. Senate Judiciary Committee today and told them that the planned combination of Verizon and MCI will bring together complementary organizations that together will benefit enterprise customers, national security and consumers, and will create an effective competitor to AT&T in the large-business and government markets.

Following are selected quotes from Seidenberg's testimony:

"Verizon and MCI will be a national, full-service company with the financial strength and technology resources to deliver the broadband, multi-media world of tomorrow to customers and create economic growth for America today."

"Enterprise customers will benefit because we will create a strong, stable and secure strategic partner for national and global businesses as they prepare for the broadband future."

"National security will benefit because we will continue to invest in and strengthen the national and international communications systems, including those used by the departments of Defense and Homeland Security."

Speaking of the consumer market, Seidenberg said: "Competition from wireless, cable telephony, e-mail, instant messaging and VoIP will continue to drive pricing, with or without this transaction. The consumer marketplace will continue to become less concentrated over time -- with or without this transaction -- as new platforms vie for the broadband household."

"Consumers will benefit because MCI's IP network and products, combined with our deployment of fiber directly to homes and businesses, will be the most advanced platform in the country."

These quotes came from today's release from Verizon, which also said that Verizon Communications has over $71 billion in annual revenues and 210,000 employees in four business units:

1. Domestic Telecom, which provides wireline services (including broadband) in 29 states
2. Verizon Wireless, serving 43.8 million U.S. voice and data customers
3. Information Services, operating directory publishing and e-commerce services
4. International, with wireline and wireless operations mostly in the Americas and Europe

AB -- 3/15/05