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Verizon chief urges smoother cable franchising process

Email|Print|Single Page| Text size + By Carolyn Y. Johnson
Globe Staff / March 28, 2008

Verizon Communications Inc. chief executive Ivan G. Seidenberg yesterday called for a streamlined cable franchising process in Massachusetts and cautioned politicians to be careful when considering new taxes or regulations.

Speaking at the Boston College Chief Executives' Club of Boston yesterday, Seidenberg discussed Verizon's recent commitment to invest $200 million in Massachusetts this year as it plans to offer television service to 30 new communities and expand broadband availability. But he stressed that even as the company has been successful negotiating cable franchises with individual communities, the process has been more costly and uncertain than elsewhere.

In other states, where Verizon has won streamlined rules for offering video service, part of the negotiations with passing legislation included broader commitments about its FiOS buildout, Seidenberg said. "We'd be willing to address the breadth of our rollout," he said. Such cable franchising rules are opposed by cable companies and municipalities.

Seidenberg also discussed the big picture for Verizon, which goes beyond its legacy landline business and new television service to wireless offerings.

The company owns 55 percent of Verizon Wireless, which recently won at a federal auction a coveted portion of airwaves used to carry voice and data. "We see the cellphone becoming a universal remote that lets you manage all your digital content," he said.

Seidenberg also warned that too many regulations and taxes that meet short-term needs could hinder long-term growth. Recently, the state Appellate Tax Board said Verizon should pay taxes on telephone poles and wires over public ways that could cost the company an estimated $78 million. Verizon plans to appeal.

Carolyn Y. Johnson can be reached at cjohnson@globe.com.

Verizon's Ivan G. Seidenberg says, 'We see the cellphone becoming a universal remote that lets you manage all your digital content.'

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