What Happened to Verizon Communications Inc.?
Verizon Communications Inc. has undergone a significant strategic transformation in recent years, culminating in a renewed focus on its core mobility and broadband businesses, particularly through 5G and fiber expansion. Under new CEO Dan Schulman, appointed in late 2025, the company is streamlining operations, integrating the major acquisition of Frontier Communications, and leveraging AI to enhance customer experience and drive efficiency, aiming for sustainable growth and market leadership by 2026.
Quick Answer
Verizon is currently undergoing a strategic transformation under CEO Dan Schulman, appointed in October 2025, focusing on a 'customer-first' approach and 'The Great Convergence' of 5G and fiber. The company completed its significant acquisition of Frontier Communications in January 2026, expanding its fiber footprint to over 30 million homes and businesses. Despite a network outage in January 2026, Verizon reported strong Q1 2026 earnings with positive postpaid phone net additions for the first time in a Q1 since 2013, and is implementing cost-cutting measures and leveraging AI for efficiency.
📊Key Facts
📅Complete Timeline16 events
Formation of Verizon Communications
Verizon Communications Inc. was created through the merger of Bell Atlantic Corp. and GTE Corp., forming one of the largest telecommunications companies in the U.S.
Launch of Verizon Wireless
Verizon Wireless began operations as a joint venture between Bell Atlantic (later Verizon) and Vodafone, quickly becoming the nation's largest wireless carrier.
Launch of FiOS
Verizon launched its FiOS fiber-optic service in Keller, Texas, becoming an early major U.S. carrier to deploy fiber-to-the-premises at scale.
Full Ownership of Verizon Wireless
Verizon acquired Vodafone's 45% stake in Verizon Wireless for $130 billion, gaining full control of its highly successful wireless unit.
Commercial 5G Network Launch
Verizon began rolling out its 5G Ultra Wideband mobility service, positioning itself as an early pioneer in 5G technology in the U.S.
Acquisition of TracFone Wireless
Verizon acquired TracFone Wireless for $6.25 billion, significantly expanding its prepaid subscriber base.
Dan Schulman Appointed CEO
Dan Schulman, former CEO of PayPal, was appointed Chief Executive Officer, succeeding Hans Vestberg, signaling a strategic shift towards a customer-first approach.
Acquisition of Starry
Verizon acquired Starry, a provider of wireless broadband internet services, as part of its ongoing expansion in broadband offerings.
Major Layoffs Announced
Under new CEO Dan Schulman, Verizon announced plans for significant layoffs, cutting approximately 13,000 to 15,000 jobs as part of a broader cost-cutting and efficiency drive.
Frontier Communications Acquisition Approved
Verizon and Frontier Communications received all required regulatory approvals for Verizon's $20 billion acquisition of Frontier, paving the way for its closing.
Frontier Communications Acquisition Closes
The acquisition of Frontier Communications officially closed, significantly expanding Verizon's fiber footprint and accelerating its national fiber strategy.
Network Outage Impacts Customers
A widespread network outage affected cellular data and voice services for hundreds of thousands of Verizon customers across the U.S., attributed to a software issue.
Q1 2026 Earnings Report Released
Verizon reported strong Q1 2026 results, including 2.9% revenue growth and 7.6% adjusted EPS growth, with positive postpaid phone net additions for the first time in a Q1 since 2013.
Further Layoffs Announced
Verizon confirmed new layoffs affecting several hundred U.S. employees, continuing its cost-cutting efforts aimed at achieving $5 billion in operating expense reductions by 2026.
Shareholders Approve 2026 Incentive Plan
Verizon shareholders approved the 2026 Long-Term Incentive Plan and re-elected directors at the annual meeting, indicating support for the company's leadership and compensation practices.
Latest Data Breach Investigations Report (DBIR) Released
Verizon released its annual DBIR, highlighting that exploitation of software vulnerabilities now accounts for 31% of security incidents, surpassing credential abuse.
🔍Deep Dive Analysis
Verizon Communications Inc. has been navigating a period of significant strategic realignment and operational transformation, particularly from late 2025 into 2026. This period is largely defined by a leadership change, a major acquisition, and a renewed focus on core competencies and customer experience.
The most pivotal change occurred in October 2025 when Dan Schulman, former CEO of PayPal, was appointed as the new Chief Executive Officer, succeeding Hans Vestberg. This leadership transition signaled a fundamental shift from a 'network-first' to a 'customer-first' philosophy, aiming to redefine Verizon's value proposition beyond just network reliability. Schulman's mandate includes simplifying the company's offerings, enhancing customer relationships, and driving efficiencies to fund growth.
A key turning point in Verizon's strategy was the acquisition of Frontier Communications, a deal valued at $20 billion, which received all required regulatory approvals by January 2026 and closed shortly thereafter. This acquisition significantly expanded Verizon's fiber footprint to nearly 30 million passings, integrating Frontier's 2.2 million fiber subscribers. This move is central to Verizon's 2026 strategy of 'The Great Convergence,' aiming to be a sole provider for mobile, home internet, and streaming services by owning both fiber and 5G assets.
Concurrently, Verizon initiated substantial cost-cutting measures, including layoffs affecting thousands of employees in late 2025 and early 2026, targeting $5 billion in operating expense reductions by the end of 2026. These reductions are intended to streamline operations, eliminate redundancies, and free up capital for reinvestment in growth areas like mobility, broadband, and AI-driven experiences. In January 2026, a widespread network outage impacted cellular data and voice services for many customers, which Verizon attributed to a software issue and offered account credits.
As of June 2026, Verizon is showing signs of positive momentum under its new direction. The company reported strong Q1 2026 results, with total operating revenue up 2.9% year-over-year to $34.4 billion and adjusted EPS growing 7.6% to $1.28, marking its highest quarterly adjusted EPS growth since 2021. Notably, Verizon achieved positive postpaid phone net additions of 55,000 in Q1 2026, the first time in a first quarter since 2013, and 341,000 broadband net additions. The company has raised its 2026 adjusted EPS guidance and expects total retail postpaid phone net additions to be in the upper half of its 750,000 to 1.0 million range. Verizon's strategy for 2026 also heavily involves deploying AI at scale to simplify offers, customize experiences, and improve customer service. Shareholders, in May 2026, approved the 2026 Long-Term Incentive Plan and re-elected directors, signaling support for the current leadership and strategic direction.
What If...?
Explore alternate histories. What if Verizon Communications Inc. made different choices?