Verizon has reached an agreement to acquire fiber optic network provider Frontier in an all-cash deal worth $20 billion. Verizon said in a press release announcing the deal that the deal will “significantly expand Verizon’s fiber coverage nationwide, accelerating the company’s delivery of premium mobile and broadband services to existing and new customers.”
The deal with Frontier could help Verizon regain old Fios customers after it acquired part of Verizon’s cable business, including Fios fiber-optic network connections, for $10.5 billion in 2015. Frontier’s existing 2.2 million fiber customers in 25 states will now join Verizon’s approximately 7.4 million Fios connections in nine states. Frontier currently has 7.2 million fiber sites and plans to build an additional 2.8 million by the end of 2026.
“The acquisition of Frontier is a strategic fit,” said Verizon Chairman and CEO Hans Vestberg. “It will build on Verizon’s two decades of leadership in fiber optics and increase competitiveness in more markets across the U.S. opportunities to enhance our ability to deliver quality products to millions of customers through our combined fiber network.”
