VZW promo angers Verizon union members
As major telcos continue to draw growth from their wireless units while seeing only decline in their wireline units, it is not surprising that they are placing more emphasis, resources and future hopes in the wireless sector. Verizon recently has been particularly aggressive doing this through new wireless initiatives like the Verizon Wireless Hub home phone system and the MiFi personal WiFi network device. The Hub in particular seems like an effective tool for allowing Verizon Wireless to compete for residential customers in markets where it doesn't have residential wireline customers.
However, union officials connected with Verizon's wireline unit in Massachusetts are now up in arms over what they say is an attempt by their wireless sister firm to convince customers in Verizon's native wireline markets to drop their wireline home phone service in favor of Verizon Wireless. The Boston Herald reports that Verizon landline customers received a promotion from VZW advertising as much. VZW claims that the ad were not supposed to be sent to Verizon landline customers, though even if that is true, the union uproar surrounding the incident shows how delicate the relationship can be between a major telco's wireline and wireless unit. It's a relationship that will only continue to fall apart unless these companies can reconcile their heavily unionized wireline units and less-unionized wireless units, and somehow get them on the same page--even though one is certainly capable of cannibalizing the other.
- The Boston Herald has this story
Verizon's hub is part of the home phone's re-invention