Earlier today I editorialized a bit on why I think Verizon has been relatively quiet in the face of T-Mobile’s UnCarrier moves. In it, I suggested that Verizon probably won’t offer roll-over data like T-Mobile and AT&T have largely because it doesn’t need to answer to T-Mobile. Now it just confirmed it won’t.
Speaking with CNET recently, Verizon chief financial officer Fran Shammo explained a bit why. “We’re a leader, not a follower,” Shammo said. “We did not go to places where we did not financially want to go to save a customer. And there’s going to be certain customers who leave us for price, and we are just not going to compete with that because it doesn’t make financial sense for us to do that.”
Verizon offers one of the best wireless networks in the United States and it sprawls from coast-to-coast. It’s a network T-Mobile doesn’t touch yet – at least in terms of coverage – and Verizon got to its position by investing in the network instead of trying to cut costs for customers.
It’s a strategy that’s working and, clearly, Verizon is willing to shrug off a quarter of 1.4 percent churn to keep the engine rolling.