Verizon announced a new organizational structure to improve the delivery of its next-generation services. The new organizational structure will focus on three areas: Network and Technology, Media and Telematics, and Customer and Product Operations. Alongside the new organizational structure were the appointment of key personnel to lead these areas of focus. Hans Vestberg, a former CEO of multinational telecommunications company Ericsson, is appointed as the Executive Vice President of Network and Technology. Marni Walden will head Media and Telematics while John Stratton will head Customer and Product Operations, both with the position of Executive Vice President for their respective roles.
The new organizational structure came as a result of continued experimentation and deployment of new technologies by Verizon as well as recent high-profile acquisitions of the carrier. Media and Telematics will focus on the digital media and connected fleet management businesses of Verizon. Customer and Product Operations is responsible for the operations of its major businesses, including Verizon Wireless, and its Internet-of-Things initiatives. Network and Technology will be responsible for the development of new infrastructure for technologies important to the operations and growth of Verizon. These technologies include 4G LTE, 5G, and fiber infrastructure. Vestberg, the head of Network and Technology, is responsible for overseeing the extensive testing and deployment of new technologies of the carrier which includes 5G testing beds and LTE service via small cells in the CBRS spectrum.
The entry of Verizon in the digital media and telematics businesses, as well as investments in modern wireless and wireline infrastructure, will help cushion the impact of intense competition in the wireless market. This intense competition went on full display recently, as the major carriers launched unlimited plans to combat the offerings of each other. Verizon’s investments in digital media include its ownership of AOL and the recent high-profile purchase of Yahoo, which together can bring the carrier $7 billion in revenue. Verizon is also involved in telematics, the business of connected car and fleet management. Verizon is, in fact, a major global telematics provider with customers in 30 countries around the world. Verizon’s investment in fiber technology is also paying off, as Verizon Fios has seen increases in subscriber base and gross revenue over the previous year.