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Verizon Exploring Tower Sale

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What willl that do for Verizon's over all service?


Sep 24, 2014, 1:20 PM
Can anyone shed some light on that?

Sep 24, 2014, 1:49 PM
nothing, they just won't be the ones responsible for tower management anymore. It looks better on paper for about two years until the lease outweighs the cost of actually just owning the tower.

Essentially it's just fixing the balance sheet for a short term to appease investors.

Sep 24, 2014, 1:59 PM
so carriers will not have cell towers to look after, but someone else doing the job... wonder how much of a cut they are getting to run all these towers for all those carriers

Sep 24, 2014, 2:33 PM
I think the problem will be quality of workmanship and reliability of the towers. Currently Verizon Wireless has a small team assigned to each tower, with one person leading each group. They are very responsible and knowledgeable. When a third party takes over, such as Alcatel/Lucent for Sprint, there is a larger group of technicians, with much less knowledge, and very little coordination between technicians.
T Bone

Sep 24, 2014, 2:54 PM
But there is another issue, which is that it is hard for a big, multinational corporation to maintain towers all over the country, down the local level.

I know that when I worked for a&t, what often happened is that you have one tower go down in a small town in rural Pennsylvania or wherever, some place which only has a couple thousand residents, and it could take days, weeks or even months for at&t to notice that something was wrong and send someone to fix it.

Now that at&t no longer owns the towers, the repairs are done locally and you don't have to wait 6 weeks for corporate to notice that no one has coverage and fix the problem..

Sep 24, 2014, 3:53 PM
If a tower is down, usually the NOC center knows it immediately.
T Bone

Sep 25, 2014, 10:18 AM
Yes, a corporate bureaucracy within a giant corporate bureaucracy is totally going to notice and do something about it quickly, there's totally no problem there, it's not like big bureaucracies have ever lost track of anything.

It doesn't really matter how soon they know about it if can take weeks to do anything about it.

Seriously, there is no way that they respond at the national level as fast as they can at the local level. That is the advantage to leasing rather than owning the towers.

Sep 24, 2014, 3:13 PM
Verizon will still own the antennae and base stations but, will lease the towers from the owners. Selling just the towers will save the company a significant chunk of change in maintenance. Unfortunately, you will not benefit from the cost savings. It's all for big red.

John B.

Sep 25, 2014, 11:58 PM
Someone has to pay for maintenance, and that cost is reflected in whatever fees are charged to verizon for leasing the towers. It's impossible for them to save a significant chunk of change for maintenance - someone has to pay that. Shifting things around doesn't change things.

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