Verizon to Acquire XO’s Fiber Business for $1.8 Billion
Verizon Communications has agreed to acquire XO Communications’ fiber-optic network business for approximately $1.8 billion.
Verizon cited several financial benefits from the transaction, including a step-up in the basis of the assets as well as operating and capital expense savings. The net present value of the operational synergies is expected to be in excess of $1.5 billion.
Separately, Verizon will simultaneously lease available XO wireless spectrum, with an option to buy XO’s entity that holds its spectrum by year-end 2018.
Carl C. Icahn, the Chairman and Sole Shareholder of XO Holdings, stated “Although this sale to Verizon does not represent a significant annualized return on our investment, we believe that in today’s environment it does represent the best achievable outcome for the company’s customers, employees and owner.”
Every article published by Converge Digest is researched, curated, fact-checked and editorially reviewed by Jim Carroll, Editor & Publisher. AI-assisted drafting may be used to accelerate production, but all content is reviewed, refined and approved prior to publication.
You just read about Verizon. One of the companies whose work it now carries:
XO Communications built Competitive local, metro fiber and enterprise network operator. What became of it?
XO Communications brought Competitive local, metro fiber and enterprise network operator to Telecom. That work was distinctive enough to lead to its acquisition by Verizon for US$1.8B. The standalone name now passes into the archive — but the team and technology continue inside Verizon today. One of 430 names here whose work outlived the company.
You just read about All. A technology from the archive that helped get us here:
Google/Alphabet Project Loon served 2011–2021. What ultimately replaced it?
Google/Alphabet Project Loon solar-powered balloons drifting in the stratosphere (~20 km), steering by rising and falling into different wind layers, relaying LTE from ground stations to phones far below. Its job passed to Unit economics — but the problem it solved, and the ideas it proved, live on in what replaced it. The standard rests here in the archive. One of 198 technologies here that opened a door and then held it for the next.
