After today’s blockbuster announcement of Verizon and Vodafone completing a $130 billion deal, the CEO of the former has now confirmed with The Globe and Mail the company is not interested in coming to Canada:
Verizon Communications Inc. CEO Lowell McAdam says the U.S. telecom giant has no interest in expanding to Canada, according to an interview with Bloomberg.
Verizon spokesperson Bob Varettoni confirmed Mr. McAdam’s comments with The Globe via e-mail. “I can confirm that [Mr. McAdam] said at this point in time, Verizon does not have an interest in entering the Canadian wireless market.”
Verizon’s CEO says the speculation was “way overblown” and also noted the position on Canada had nothing to do with the Vodafone deal, in its interview with Bloomberg:
“Verizon is not going to Canada,” CEO Lowell McAdam said in a telephone interview. Speculation that the U.S.’s largest wireless company might try to compete in Canada was “way overblown,” he said.
McAdam said Verizon had limited interest in the Canadian market before it announced earlier today that it will buy Vodafone’s 45 percent stake in Verizon Wireless for $130 billion — and none now.
Back in mid-June, Verizon’s CFO said the company was “looking at the opportunity” of expanding to Canada and “this is just us dipping our toe in the water.” It was then later rumoured the company had put out a $700 million bid to acquire WIND Mobile, plus was engaged in talks with Mobilicity.
Later in August, Verizon was reported to scrap its plans to bid on both newer wireless entrants. Looks like the writing was on the wall for Verizon in Canada at the time and the Vodafone deal has more than sealed the fate of the company’s expansion plans, despite some arguing with complete control of the company expansion outside of the USA might be possible.
Canada’s incumbent carriers have spent millions over the past few months on an ad campaign against Verizon coming to the Canadian wireless market, in a war of words with the Federal government. Looks like Ottawa’s goal of having a fourth national wireless play has just hit a snag…
…more to follow