Verizon Doesn't See Net Neutrality Law, High-Frequency Auction, Happening Soon
Verizon doesn’t see net neutrality legislation as very likely soon, said Kathy Grillo, senior vice president-public policy and government affairs, in an interview on C-SPAN's The Communicators to be televised starting Saturday and to be available online. Congress is “looking hard” at net neutrality, Grillo said. “Congress has a lot on its agenda -- tax reform, healthcare, some of these nominations,” she said. “There is a growing consensus that we need some kind of framework.” Different FCCs approving different sets of rules doesn’t make sense for consumers, she said.
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Verizon has the most high-frequency spectrum of any of the major carriers (see 1705170012). Grillo said an FCC auction of some of the bands recently reallocated by the commission as part of the spectrum frontiers proceeding “could be a couple of years” away. “We’ll get there,” she said. “It’ll happen.” Grillo said for now, she hopes the FCC will focus on opening more mid-band spectrum. In August, the FCC launched a mid-band notice of inquiry (see 1708030052). The agency was right to conclude the wireless industry is effectively competitive (see 1709260045), she said. “We see an extremely competitive market.”
The company has commercial 5G trials underway in 11 cities, Grillo noted. “We’re looking at different aspects of how the spectrum works, how the equipment works.” Verizon will have a 5G product on the market next year, she said. “It’s hard to tell” whether 5G wireless will be a complete replacement for wired connections, she said. Verizon has “done a good job” lining up the fiber it needs for 5G, but still needs to install many more small cells, she said: “Once we do that, I think we’ll be in a good position.” Densification “is a fancy way of saying we have to install a lot of small cells in a lot of different places quickly,” she said.
On revised wireless siting rules, Grillo acknowledged local governments have legitimate concerns. “You can set up a national framework that takes some of those concerns into account, but also makes sure that there’s a consistent process across the board,” she said. Verizon plans to start its 5G deployment in big cities and move to smaller areas, she said.
Grillo declined to comment on any Sprint/T-Mobile merger/acquisition. "Whatever M&A happens in the market, competition is a good thing, it makes us better,” she said. “We’ll stick to our strategy.” Grillo said she’s not surprised more M&A wasn’t been unveiled since President Donald Trump took office in January. "It's probably one of the most complex times in the industry that we've seen in years,” she said. Verizon’s strategy is different than that of AT&T, with its focus on content, Grillo said. “Our strategy is around 5G, IoT and mobile video.”