A cable/wireless innovation technology joint venture linked to a larger deal originally forged by Verizon Wireless, Comcast, Time Warner Cable and Bright House Networks in December 2011 "has been terminated," Verizon Communications CFO Fran Shammo said on the company's third quarter earnings call on Thursday morning.
Shammo said Verizon Wireless and its cable partners are heading in "separate ways" with respect to the technology J.V., but stressed that the commercial relationships, which include the comarketing and bundling of mobile and cable services, remain intact. He said the decision to scuttle the innovation J.V. came in the wake of Verizon's pending deal to snap up Vodafone’s 45% stake in Verizon Wireless for $130 billion.
In a statement to Multichannel News, a Verizon Wireless spokeswoman reiterated Shammo's comment, adding that the innovation technology joint venture was dissolved in late August.
"The joint venture was formed to bring innovation to the marketplace and enhance the customer experience through technology that integrated wireline and wireless products and services," the statement continued. "Evolving technology and market changes since the joint venture was formed have led all parties to conclude that a joint venture, per se, is no longer needed to deliver innovative services to customers. Verizon Wireless and the cable companies will continue to explore ways to collaborate on technology in the future. Each company remains committed to bringing innovation to its customers and will continue to find ways to optimize the user experience for each company's products."
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