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Verizon continues to go back and forth on Title II classification
June 09, 2025
As I have discussed anumber of times, Verizon can’t seem to make up its mind on whether they really support Title II classification. They love Title II when it helps them receive all sorts of financial benefits but can’t stand it otherwise.
For those that do not know, the Federal Communications Commission (FCC) is considering whether to reclassify all internet service providers (ISPs) as common carriers under Title II of the Communications Act of 1934. Being classified as a Title II organization includes new rules that must be followed to ensure that actions by your company are “in the public interest.”
For example, thesecond subsectionof the Title II rules state that common carriers can’t “make any unjust or unreasonable discrimination in charges, practices, classifications, regulations, facilities, or services.”
Essentially, this classification would allow the FCC to protect net neutrality by regulating against against paid prioritization. In fact, ISP’s are already using Title II classification when they want to receive a number of different financial benefits. In some areas of the country, building out your broadband system under Title II allows your company select tax breaks.
But Verizon can’t seem to decide whether or not they favor Title II classification. On one hand, Verizon proudly claims to be a Title II service in a number of different states when applying for local franchise agreements inNew Jersey, Washington DC and other states.
Then Verizon decided that Title II classification would be terrible for their company and the country.
Then Verizon’s CFO decided to claim that Title II wouldn’t really decrease their investment.
Now, Verizon’s CFO is speaking out about his own comments. He wants everyone to know that even though he admitted previous to Title II having no effect on their investment, Title II classification being made permanent will in fact cause Verizon’s investment inbroadband to go down.
By classifying themselves under Title II in recent years, Verizon was able to receive over $4.4 billion in additional revenue. That number doesn’t even include the tax benefits nor the fact thatVerizon never came remotely closeto fulfilling their promised broadband deployment goals in New Jersey, Pennsylvania and others.
Verizon, like other telecommunication companies, likes to claim that classifying them as Title II would engulf them in excessive red tape. But as Sonic.net’s CEO mentioned on a podcast (per TechDirt), that isn’t true. In fact, the CEO stated that there is little additional red tape attached to Title II classification and that Title II is only a “regulatory burden” if you’re an ISP that’s doing bad stuff to consumers.
Essentially, Verizon is for Title II but only when they can make several billion off it.
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