Verizon Company Overview (Position and Progress in the 5G Space)

Overview of Verizon Company

Verizon is a large telecommunications company headquartered in the United States, with its main businesses covering voice calls, fixed broadband, and wireless communications. Verizon was formerly a regional company of Bell called "Bell Atlantic". Later, after multiple mergers and reorganizations, it finally changed its name to Verizon after acquiring GTE (General Telephone & Electronics) in 2000. The name "Verizon" is composed of two words: the first part "veritas" means truth, and the second part "horizon" means the horizon, symbolizing the company's vision of pursuing truth and infinite possibilities.

Business Scope of Verizon

Verizon offers a series of communication services, including but not limited to:

• Wireless Communications: Verizon Wireless is one of the largest wireless operators in the United States, providing a wide range of wireless voice and data services.

• Fixed Broadband: Verizon is one of the first major operators in the United States to provide fiber optic services for home services, offering high-speed Internet services.

• Enterprise Solutions: Verizon provides enterprise network solutions, security and managed network services, local and long-distance voice services as well as network access, supporting various Internet of Things (IoT) services and products.

• International Business: Verizon's business spreads across the Americas, Europe, and the Asia-Pacific region. It operates in multiple countries and provides cross-border communication services.

Influence of Verizon

Verizon plays an important role in the global telecommunications industry. Its network is regarded as one of the most reliable networks in the United States. Verizon continuously invests in new technologies, such as 5G networks, to promote the development of the telecommunications industry and provide customers with faster and more stable services. In addition, Verizon is also committed to social responsibility projects, such as reducing operational emissions, providing digital skills training, and supporting the development of small businesses.

Main Competitors of Verizon

Verizon's main competitors include the following companies:

• AT&T: As one of the largest telecommunications companies in the United States, AT&T has fierce competition with Verizon in the wireless communication market. AT&T competes with Verizon in 5G network coverage and technological innovation. Both have significant influence in terms of market share and user base.

• T-Mobile: T-Mobile is one of the leading 5G operators in the United States. Its 5G network coverage area is nearly five times that of Verizon, and it also has an advantage in network speed. T-Mobile has further enhanced its competitiveness in the market by acquiring Sprint.

• Comcast and Cox: These two cable television operators are also important competitors of Verizon, especially in the fixed broadband market. With the development of technology, they have also begun to get involved in the wireless communication market, forming a direct competitive relationship with Verizon.

• Sprint: Although it was acquired by T-Mobile in 2020, before that, Sprint was one of Verizon's main competitors. Sprint competed with Verizon in market share and wireless technology in some regions.

These competitors compete with Verizon in different business areas, including wireless communications, fixed broadband, and television services. Verizon needs to continuously innovate and improve service quality to maintain its leading position in the market.

Service Features of Verizon

Verizon is a globally leading technology and communication service provider, and its service features mainly include the following aspects:

Network Coverage and Technological Innovation

• 5G Network: Verizon is one of the earliest operators in the world to deploy 5G networks, and its 5G network is regarded as one of the fastest and most powerful technologies in the world.
• 4G LTE: Verizon's 4G LTE network is one of the most famous and reliable networks in the United States, providing users with stable high-speed network services.
• Fiber Optic Network: Verizon is one of the first major operators in the United States to provide fiber optic services for home services, and its fiber optic network offers excellent Internet, telephone and television services.

Service Content and Quality

• Wireless Services: Verizon provides 3G, 4G and 5G network services to meet users' various needs such as Internet access, video conferencing and social networking.
• Wired Broadband Services: Verizon's wired broadband services provide high-speed and stable network connections, which are applicable to both home broadband and enterprise broadband.
• Telephone Services: Verizon offers domestic and international telephone services to meet the telephone needs of households and enterprises.
• Network Services: Verizon provides various network services such as home networks, enterprise networks and cloud services.
• Data Services: Verizon offers multiple data services including home data services, enterprise data services and cloud data services.

Customer Service and Innovation

• Generative AI Applications: Verizon has launched a batch of human-assisted generative AI application programs aiming to improve customer service operations, including tools for matching users with the most suitable customer service representatives and personal research assistants. Through these tools, the time for solving customer problems can be saved and the efficiency of customer transactions can be improved.
• Flexible Bundling Services: Verizon has launched the +play service, which is a flexible and super bundling service. It attracts D2C customers, provides a wide selection of high-quality paid applications, and offers an incentive mechanism for customers who subscribe to third-party services through this platform.
• New Service Launch: For example, it has launched the "Second Number" service, which allows users to add a second phone number on the same mobile phone. Users only need to pay an additional $10 per month (the promotional price, and it will be $15 later). It provides the opportunity for unlimited calls and text messages in the United States, Mexico and Canada. It is applicable to dual SIM card devices and ensures the continuity and convenience of services.

Business Coverage and Market Position

• Global Business: Verizon's business covers 45 countries around the world, providing a full range of telecommunications and wireless business services.
• Market Position: Verizon's position in the communication industry is unshakable. It is one of the largest wireless operators in the world and has set industry benchmarks in terms of market share, technological innovation, service quality and brand influence.

Verizon's Position in the 5G Field

As one of the globally leading telecommunications operators, Verizon plays an important role in the 5G field. Verizon has not only achieved remarkable achievements in 5G network construction but also played a key role in technological innovation and standard setting.

• Network Construction and Technological Innovation: Verizon is one of the earliest operators to announce the completion of the standard setting for 5G wireless specifications, marking an important step in the commercialization process of 5G networks. Verizon's 5G network has been officially launched, and compared with other major operators in the United States, Verizon has maintained a leading position in the development and promotion of 5G networks. In addition, Verizon is the world's first company to successfully achieve end-to-end fully virtualized 5G data services in the existing network, and this technological breakthrough has laid the foundation for large-scale mobile edge computing and network slicing.

• Market Strategy and Partnerships: Verizon has adopted an active attitude in its market strategy and established cooperative relationships with many well-known technology companies to jointly promote the development of 5G technology. For example, Verizon has cooperated with companies such as Cisco, Ericsson, Intel, LG, Nokia, Qualcomm and Samsung to jointly formulate 5G wireless specifications. These partnerships are helpful in accelerating the commercialization process of 5G networks.

• User Experience and Coverage Range: Verizon also performs well in terms of 5G user experience. Its network has high stability with few interruptions or fluctuations, providing users with a smooth 5G service experience. Although in terms of coverage range, Verizon may have a gap compared with some competitors, its advantages in technological innovation and user experience still enable it to maintain a leading position in the 5G field.

Verizon's Progress in 5G Network Construction

As a leading wireless communication service provider in the United States, Verizon has made remarkable progress in 5G network construction. The following are some key points:

• 5G Wireless Specification Standard Setting: Verizon announced the completion of the standard setting for 5G wireless specifications. These standards will be adopted by smartphone manufacturers and component suppliers, marking another step closer to the practical application of 5G networks.

• 5G Network Slicing Technology: Verizon has successfully experimented with network slicing technology on its commercial 5G core network. This allows customers to send traffic on virtual end-to-end networks according to specific application requirements and optimizes network performance to support all services.

• 5G SA Deployment: Although Verizon is relatively lagging behind in 5G SA deployment, it has already started relevant deployments, which will greatly increase the speed of 5G, reduce latency and support large-scale connections.

• Mid-band 5G Coverage: Verizon and AT&T are catching up with T-Mobile in mid-band 5G coverage. Especially after the release of the second batch of C-band spectrum at the end of 2023, Verizon is expected to make significant progress in mid-band 5G coverage.

• 5G Smartphone Model Increase: The number of 5G smartphone models provided by Verizon is constantly increasing, covering various price ranges such as low-end, mid-range and high-end, which helps to promote the wide adoption of 5G.

• 5G Network Testing Cooperation: Verizon has cooperated with many technology companies, including Cisco, Ericsson, Intel, LG, Nokia, Qualcomm and Samsung, to jointly promote the development of 5G networks.

The above progress shows that Verizon is actively promoting the construction and application of 5G networks in order to maintain its competitiveness in the future communication market.

Verizon's Carbon Emission Reduction Measures

As a large telecommunications operator, Verizon has been actively taking measures to reduce carbon emissions to achieve its environmental protection goals. The following are some of the main measures:

• Investment in Renewable Energy: Verizon plans to deploy solar panels and fuel cells in some base stations to reduce carbon emissions. The company has already deployed clean energy facilities in six states such as California and New Jersey, and plans to have 15 megawatts of clean energy power generation devices by 2014, which can generate 70 million kilowatt-hours of electricity per year, enough to supply 6,000 household users for one year. It is expected that the annual reduction of carbon dioxide emissions can reach 100,000 tons.

• Green Procurement Specifications: Verizon has determined its own energy consumption standards and purchases new telecommunication equipment according to these standards. This standard applies to broadband, video, data center, network and client-side products purchased after June 1, 2009, with the goal of achieving 20% energy savings compared to the current situation.

• Carbon Emission Reduction Goals: Verizon has set a goal to achieve net zero emissions in its operations by 2035. The company plans to provide or generate renewable energy equivalent to 50% of its annual electricity consumption by 2025, and reduce emissions by 53% in Scope 1 and 2 based on the 2019 baseline by 2030, and reduce emissions by 40% in Scope 3 by 2035.

• Intelligent Cooling and Internet of Things Technology: Verizon is using new technologies such as intelligent cooling, energy storage and the Internet of Things to improve energy utilization efficiency, reduce the PUE level of data centers, and achieve precise monitoring and management of energy consumption through AI and Internet of Things technologies, further improving energy utilization efficiency.

• Energy Management System: Verizon is establishing a comprehensive and reliable energy management system to improve energy utilization efficiency. For example, through the energy management system, obsolete assets are regularly disposed of, and energy-saving systems are incorporated into the infrastructure to monitor performance in real time.

Through these measures, Verizon has not only achieved a viable transformation in the economic aspect, but also achieved remarkable results in social responsibility and environmental protection. These efforts contribute to promoting the entire industry to develop in a more sustainable direction and to combating climate change.

How Verizon Supports the Digital Transformation of Small Enterprises

Verizon supports the digital transformation of small enterprises in multiple ways, including providing network, security and cloud services, as well as cooperating with other technology companies to develop new solutions. The following are some specific support measures:

• Network Services: Verizon provides high-speed network services, including 5G technology, which is crucial for digital applications that require fast data transmission and low latency.

• Security Services: As enterprises rely more and more on digital technologies, network security is becoming increasingly important. Verizon provides a series of security solutions to help small enterprises protect their data and avoid cyber attacks.

• Cloud Services: Verizon's cloud services allow small enterprises to flexibly store and process data while reducing the cost of IT infrastructure.

• Partner Projects: Verizon cooperates with other companies, such as HubOne, to provide customized solutions for small enterprises to meet their unique needs. These partner projects usually include simple, tiered benefit structures, enabling partners to flexibly determine their commitment levels, and include simple and easy-to-use tools and clear and consistent participation processes.

• Technology Cooperation: Verizon also cooperates with technology companies such as SAP and Unity to develop new solutions to accelerate the digital transformation of enterprises. For example, Verizon cooperates with Unity to create enterprise-level and entertainment-level 3D tools that can utilize 5G and mobile edge computing technologies, which helps enterprises achieve digitalization in fields such as retail, sports and games.

Through these measures, Verizon helps small enterprises overcome the challenges in the process of digital transformation and promotes their growth and success.

Latest Developments

Verizon's wireless business revenue in 2023 was $109 billion, with a year-on-year growth of 9.5%. Among it, the wireless service revenue was $74.4 billion, with a year-on-year growth of 8.6%, and the wireless equipment revenue was $27.2 billion, with a year-on-year growth of 17.5%. The net profit was $21.7 billion. In addition, Verizon's stock prospects in 2024 and the forecast of VZ stock price show that the company is regarded as an attractive value investment option, especially for investors seeking stable dividend income.

Summary

In summary, Verizon has a very solid position in the 5G field. Whether in network construction, technological innovation or market strategy, it has shown strong competitiveness and leadership. With the continuous development and application of 5G technology, Verizon is expected to continue to consolidate its leading position in the global 5G market.