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Verizon Sends Cautionary Signal Over Frontier Spinoff: “Integration Rarely Happens Overnight or Without a Hitch”

Phillip Dampier June 30, 2009 FairPoint, Frontier, Verizon No Comments

Verizon is concerned about potential risks for data hacking and security breaches associated with mergers and acquisitions in undertakes.  The Verizon Business Risk Team reported that 13% of the breaches studied in 2008 involved companies undergoing transition as part of a merger or acquisition.

Verizon signaled caution to prospective Frontier Communications territories about to be spun away from Verizon:

“Mergers and acquisitions bring together not only the people and products of once separate organizations, but their technology environments as well. Integration rarely happens overnight or without a hitch.”

TheDeal.com writes Verizon has the experience to understand the risks, as both a buyer and seller.

Verizon’s selling of its operations in New England to FairPoint Communications was particularly noted, because of ongoing billing, customer care, and other transition problems, some of which are still unresolved to this day.

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  • Rasputin1357: Why can't we bring back tar and feathering? This jackass looks to be the perfect candidate for that treatment!...
  • Terry: This makes it look as if you don't understand business. The content producer sets their asking price. The delivery provider negotiates the price to wh...
  • Dave Hancock: Phillip, one thing that you said peaked my interest: "Subscribers on Time Warner Cable’s blog keep coming up with an innovative idea to solve thes...
  • Jason!: Am I surprised? No, I am not surprised....
  • jr: CEOs need to make 8 figures...
  • DM: I hate hearing statements like this because this has been the cable industry’s exact attitude for the past five years. Regarding internet services,...
  • Jeremy: That's their whole plan so they can justify ripping off consumers with lousy bandwidth and caps....
  • Uncle Ken: Just great/ If what Kent says is true we will drop to the bottom of the rest of the earth and be back on dial up all in the name of stock holders. M...
  • Earl Cooley III: They should pay the various channels whatever fees they want, and finance it by dramatically slashing executive compensation, using the extra money le...
  • Phillip Dampier: In other words, some automated test procedure is being run on a periodic basis that resets your line speeds lower (how many have ever gotten faster sp...
  • Zaii: I've been having this issue for months now. I had 1792 d/l for years rock solid connection then I got "optimized" to 1504. Contacted Verizon direc...
  • Phillip Dampier: In Australia or New Zealand, where flat rate broadband was around only very briefly back when "online streaming" meant a low bitrate Real Audio stream...

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