Stocks

Stocks

A Research

NAME

PROFESSOR

SCHOOL

Verizon Wireless

Company Background

Verizon Wireless , as it claimed on its Web site , is the United States most reliable wireless network ( HYPERLINK "http /www .verizonwireless .com " www .verizonwireless .com . It is also the largest wireless company and wireless data provider (based on revenues ) in the country . Verizon Wireless is actually the business name of Cellco Partnership which is the joint venture of Verizon Communications and Vodafone . It began operations in 2000

The company offers mobile voice services , including push-to-talk (PTT

walkie-talkie style service , and other service offerings include text and picture messaging , multimedia content (V CAST , and mobile Web services (Hoovers

Lastly , according to the company 's Wed site , Verizon Wireless is a leader in delivering broadband and other wireline and wireless communication innovations to mass market , business , government and wholesale customers . Verizon Wireless operates America 's most reliable wireless network , serving 59 million customers nationwide . Verizon Business operates one of the most expansive wholly-owned global IP networks . Verizon Telecom is deploying the nation 's most advanced fiber-optic network to deliver the benefits of converged communications information and entertainment services to customers ( HYPERLINK "http /www .verizonwireless .com " www .verizonwireless .com

Legal Issues

Perhaps , one of the biggest legal issues faced by Verizon Wireless is the Campbell Class Action Suit . In the lawsuit , Verizon Wireless and the companies that eventually became Verizon Wireless were accused of not properly disclosing the conditions and limitations of its wireless service , and breaching contracts or other obligations by failing to provide service to their customers as promised , or by billing customers improperly , or both ( HYPERLINK "http /www .campbellvzwsettlement .com www .campbellvzwsettlement .com . Although the settlement became final on May 3 , 2006 , it is this year that a bulk of the vouchers , as settlement for the class action , will be redeemed . This redemption might impact the earnings potential of Verizon Wireless for year 2007

With the increasing concern on data theft in the country , Verizon Wireless has been I the forefront in advocating the protection of customers ' privacy . It has d numerous lawsuit against companies which have fraudulently attempted to obtain customer records by calling Verizon Wireless ' customer service centers , and posing as Verizon Wireless ' employees needing access to confidential customer information (PR Wireless 1 . The outcome of these lawsuits may affect the stock price of Verizon Wireless as investors ' confidence on Verizon Wireless ability to protect its customers change with the lawsuits ' outcomes

Long-Range Outlook

Investors need to monitor the progress of AT T with regard to its wireless unit . AT T , compared to Verizon Wireless , has the largest wireless unit in the United States (based on number of subscribers , but Verizon Wireless is still ahead (based on revenues ( The Week Ahead A . 2 . But in the near future , this might change as AT T goes head to head with Verizon Wireless

If the analysts ' prediction that Vodafone Group , which owns 45 percent of Verizon Wireless ' stocks , will sell its Verizon Wireless stake , then this will negatively impact...