Carrier Qwest changes its strategy for delivering wireless voice and broadband to customers.
Qwest Communications International said May 5 it had signed a five-year
agreement with Verizon Wireless to market and sell Verizon Wireless service
beginning the summer of 2008. The companies also announced that they will work
together on bidding for enterprise and government wireless contracts and will
collaborate in the development of converged services.
The deal fundamentally changes how Qwest provides wireless services to its
customers from its current wholesale model to an agency relationship. According
to Qwest, the deal is similar in structure to the company's current arrangement
with DirecTV. Financial terms were not disclosed.
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Under the agreement, Qwest customers will have access to all Verizon
Wireless handsets, smart phones and BlackBerry devices, as well as high-speed
broadband wireless services for e-mail, Internet access and multimedia
services. Residential customers will be able to choose wireless-only plans
and be billed directly by Verizon Wireless.
Click here to read about Verizon's successful bid for coveted 700MHz spectrum in the recent FCC auction.
Residential customers will also have the option of including Verizon
Wireless service as part of a Qwest bundle that includes land-line and
broadband service and receiving one bill from Qwest for all services.
"Qwest's strategies for success certainly will benefit from this deal and
we look forward to a solid relationship with Verizon Wireless," Qwest
Chairman and CEO Ed Mueller said in a
In a joint statement with Mueller, Verizon Wireless President and CEO
Lowell McAdam added, "The quality and reliability of our network, coupled
with our broadband capabilities, leading lineup of advanced communications
devices and reputation for customer satisfaction will make a huge difference in
their [Qwest customers'] wireless experience."
Qwest residential customers will be able to buy
Verizon Wireless products and services through Qwest's call centers, retail
stores and kiosks and online at Qwest.com.