In Verizon’s quarterly earnings call with media and shareholders, the nationwide carrier revealed it does not intend to accelerate the buildout of its 5G network. The Federal Communications Commission (FCC) recently finalized a rule and order that will preempt local government oversight of broadband deployment to promote 5G buildouts but the latest news from Verizon suggests the rule has minimal impact on carriers’ 5G plans. FCC Chairman Ajit Pai also claimed the rule would facilitate 5G deployment in rural areas, but the FCC’s lone Democrat, Commissioner Jessica Rosenworcel, said the new rule will do nothing to change “the hard economics of rural deployment.”
The FCC pointed to complaints from Verizon as justification for their controversial rule that preempts local fees and regulations of broadband deployment. The FCC passed the rule over the fierce objection of RCRC and other state and local government groups. The rule is estimated to save nationwide carriers over $2 billion in regulatory fees but it appears these savings will not lead to more broadband deployment.