Leading wireless provider, Verizon Communications Inc. (VZ) has announced that it is enhancing 4G Long Term Evolution (:LTE) network coverage in Shapleigh, Maine. The company said customers in this area can now use 4G compatible devices to experience 4G services that offer 10 times faster speed than 3G networks.
Verizon has a strong foothold in the wireless business and continues to capture additional market share via robust deployment of the 4G LTE network. This leads to improved operating and capital efficiency. The company is leading the industry in terms of 4G deployment.
On Jan 6, Verizon Wireless announced its agreements to transfer 700 MHz A Block spectrum licenses to T-Mobile US, Inc. (TMUS) in exchange for cash ($2.4 billion) and spectrum licenses in the AWS and PCS bands which it will use to add capacity to its 4G LTE network. The transaction is expected to close in the first half of 2014.
As of Dec 31, 2013, it covered 500 markets and more than 305 million people (nearly 99% of the total 3G network). We also appreciate the various strategic initiatives that the company has taken over the last couple of months. The company’s new data plan — Share Everything — accounts for almost 46% of its post-paid account, representing 16.2 million users. Going forward, this plan is expected to boost the company’s device adoption and usage resulting in a higher number of devices and revenue per account.
Verizon currently carries a Zacks Rank #3 (Hold).