Verizon Wireless 2013 Annual Report Download - page 5

percent of Verizon Wireless, we will retain all of its cash flows,
giving us the ability to invest in new technologies and address
customer demands while having an immediate accretive impact to
earnings of about 10 percent excluding non-operational items.
Having greater financial flexibility will enable us to respond
quickly to the significant growth opportunities within our current
wireless business. About one-third of our customers still
don’t have smartphones, giving us plenty of headroom to benefit
from this profitable trend. Our “More Everything” data plans—now
almost half of our base—encourage customers to add tablets
and other devices, which we expect will drive penetration levels
beyond 100 percent.
More broadly, mobile networks are becoming the platform for
most of the world’s digital cargo—including voice, data and,
increasingly, video—giving rise to whole new industries such as
mobile commerce, mobile video delivery, telemedicine and
distance learning that represent the next growth wave in our
industry. This is where the new, post-transaction Verizon will have
the biggest value-creating opportunity of all—not just in wireless,
but across our entire company.
GROWING THROUGH CONVERGED SOLUTIONS
We have spent several years transforming Verizon into a
company that can serve the needs of the digital economy.
VERIZON ENTERPRISE SOLUTIONS
A Global Footprint Serving 99%
of the Fortune 500
• Verizon’smeshnetworkprovidesindustry-leadingavailabilityrates
exceeding 99.9999 percent.
• VerizoncarriesIP,data,andvoicetrafconmorethan80submarine
cable networks worldwide.
• Verizonoperatessatellitelinkstomorethan200teleportsin
approximately 90 countries.
• WeofferPrivateIPservicein130countries/territories.
Thanks to our steady investment in technology, few if any
companies can match the reach and power of Verizon’s world-
class wireless and broadband networks. In addition, we have
built or acquired the capabilities we need to provide integrated
solutions that meet the increasingly complex requirements of
our customers. Through Verizon Terremark, we operate some
of the world's most advanced data centers and provide state-
of-the-art cloud services for enterprise customers. We provide
the vital security services that are so critical to the future of
mobile commerce and cloud computing. Verizon Telematics is a
leader in the connected-car business and is on the forefront of
the emerging machine-to-machine marketplace. We have built a
substantial presence in the delivery of digital video across fiber,
mobile and cloud platforms, and we are creating new businesses in
vertical markets such as healthcare and energy management.
In 2013, we leveraged these assets to make important additions
to our portfolio of connected solutions.
CLOUD
Much like their counterparts in the consumer marketplace,
enterprise customers want unprecedented control over
their technology. As businesses move more and more data
storage, customer information and information technology
functions to the cloud, they increasingly expect those services
VERIZON WIRELESS
The Nation’s Largest 4G LTE Network
• Verizon4GLTEcovers97percentoftheU.S.population.
• OnlyVerizon's4Gnetworkis100percent4GLTE.Othernetworksusea
blend of wireless technologies, but 4G LTE is the gold standard.
• MorecustomersrecommendVerizontofriendsandfamilyoverany
other wireless network.*
• MorepeoplestaywithVerizonthananyotherwirelessnetwork.**
* Based on Russell Research “Wireless Service Provider Recommendation Study” - Among
respondents who had an opinion.
** Based on Q4 2013 wireless industry churn results.
VERIZON COMMUNICATIONS INC. 2013 ANNUAL REPORT
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