Did Verizon overstate FiOS subs?

Advertising agency Digital Art Services filed a lawsuit against Verizon Communications alleging that the telco overstated the number of subscribers it had for its FiOS TV service. The suit claims that Verizon counted pending customers along with actual subscribers in a quote it provided to a sales agent that sold advertising to DAS. Verizon says it doesn't pad it subscriber figures.

Verizon claims DAS is suing simply because it wants out of its advertising contract. Whether there was any overstatement or not, this lawsuit represents one of the new potential challenges telcos face in entering the TV and media business. Though accuracy of voice connection numbers always mattered, they were never so directly connected to advertising revenue.

For more:
- Read this story in The Baltimore Sun

Related Articles:
- Verizon FiOS recently turned two

Suggested Articles

The data center sector is on track for another record year for mergers and acquisitions, according to Synergy Research Group.

VMware announced on Friday that it's buying privately held Veriflow to beef up its pervasive network monitoring and troubleshooting capabilities.

Cisco has axed 488 employees, according to a filing with the State of California.