Bloomberg reported Verizon was in advanced discussions to buy Frontier Communications in an all-cash deal which could be announced today (5 September) and would substantially increase its fibre footprint.
In Q2 earnings documents, Frontier Communications stated it added a record 388,000 fibre passings to reach a total of 7.2 million locations, with subscriber growth of 18.6 per cent year-on-year taking it to a total of 92,000 broadband users.
Verizon rivals T-Mobile US and AT&T are showing increased interest in expanding their fibre holdings due to skyrocketing demand for broadband services and to provision mobile backhaul.
Frontier Communications emerged from Chapter 11 bankruptcy protection in 2021, after seeking safe harbour to tackle a debt load associated with fixed line assets acquired from AT&T and Verizon.
It bought Verizon’s rural fixed-line assets in 14 states for $6.8 billion in 2010 and operations in California, Florida and Texas for $10.5 billion in 2015.
Frontier Communications also acquired AT&T’s Connecticut fixed line business for $2 billion in 2014.
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