MONDAY MORNING.
THE U.S. AND CANADA REACH A
TRADE DEAL.
JOINING US NOW IN A FIRST ON FOX
BUSINESS INTERVIEW IS THE CEO OF
VERIZON, HANS VESTBERG.
THANK YOU FOR JOINING US.
WE WANT TO TALK ABOUT YOUR
PROGRESS WITH 5G.
WE'RE ALL INTERESTED IN HEARING
WHAT DOES THIS MEAN FOR
CONSUMERS.
NEW NATCH TAY
NEW NAFCH TAY
NEW NAFTA TAY
NEW NAFTA DAY
FIRST, LET ME GET YOUR TAKE ON A
NEW NAFTA DEAL.
YOU DON'T SELL INTO CANADA.
>> WE DON'T HAVE WIRELESS
SERVICES IN CANADA.
MARIA: WHAT'S YOUR TAKE ON THE
DEAL?
>> I THINK OPEN TRADE AND FAIR
TRADE BETWEEN COUNTRIES IS
IMPORTANT.
I THINK IT'S GOOD THAT WE HAVE
THAT TYPE OF DEAL.
MARIA: THE PRESIDENT IS
OBVIOUSLY IN TALKS WITH CHINA AS
WELL AS THE EUROPEAN UNION.
HE IS TALKING ABOUT A POSITIVE
BEING THE DEAL THAT HE JUST DID
WITH SOUTH KOREA AS WELL.
YOUR THOUGHTS ON WHETHER OR NOT
WE'RE GOING TO SEE AN INCREASE
IN PRODUCTS AS A RESULT OF SOME
OF THESE SPATS GOING ON AROUND
THE WORLD AND THE TARIFFS THAT
HAVE BEEN PUT ON.
>> TOO EARLY TO SAY, BUT AGAIN,
I THINK THAT TRADE DEALS BETWEEN
COUNTRIES AND REGIONS IS ALWAYS
IMPORTANT TO HAVE.
SO LET'S SEE WHAT'S GOING TO
HAPPEN.
MARIA: YOU'RE NOT EXPECTED TO
RAISE PRICES THEN?
>> NO, RIGHT NOW WE HAVE NO
INDICATION OF THAT.
MARIA: LET'S TALK 5G.
VERIZON IS ROLLING OUT THE FIRST
COMMERCIAL 5G NETWORKS TODAY IN
FOUR AMERICAN CITIES INCLUDING
LOS ANGELES, YOU HOUSTON, TELL
US ABOUT THIS.
>> WHAT'S HAPPENING RIGHT NOW,
WE'RE GOING TO LAUNCH TODAY, WE
LAUNCHED TWO WEEKS AGO
COMMERCIALLY 5G HOME, WHICH IS
FIXED WIRELESS AT HOME.
THAT'S THE FIRST SERVICE ON 5G.
WE'RE FIRST IN THE WORLD.
I'M GOING TO DO THE FIRST
INSTALLATION IN HOUSTON TODAY
WITH A CUSTOMER THAT HAS ORDERED
IT AND WILL GET THE 5G HOME
TODAY IN THE AFTERNOON IN
HOUSTON.
5G IS HE VERY
5G IS VE VERY
5G IS VERVERY
5G IS VERYERY
5G IS VERY DY
SO THESE ARE EXCITING THINGS.
5G IS VERY DIFFERENT, SO MUCH
MORE YOU POWER, DIFFERENT TYPES
OF OPTIONALITY OF THE NETWORK
COMPARED TO PREVIOUS
GENERATIONS.
MARIA: TELL US ABOUT THAT.
THAT'S WHY YOU'RE FOCUSED ON
BUILDING ONE MULTIPURPOSE 5G
NETWORK THAT SERVES MULTIPLE USE
CASES.
WE WANT TO KNOW WHAT
SPECIFICALLY THE CONSUMER'S
GOING TO SEE AS A RESULT OF THIS
NEW --
>> YOU HAVE MULTIPLE USE CASES.
ONE IS FOR CONSUMER WIRELESS,
WHATEVER THEY HAVE ON 4G TODAY
THEY WILL HAVE ON 5G.
IT WILL BE MORE THROUGHPUT AND
SPEEDS.
MARIA: A LOT FASTER.
>> SO MUCH FASTER, TOTALLY
DIFFERENT.
WE ALSO HAVE A USE CASE WHERE WE
CAN DO FIXED WIRELESS BROAD BAND
FOR THE HOME, SO YOU DON'T HAVE
CABLES.
THEN ULTIMATELY ALL ENTERPRISE
SOLUTIONS, WE TAKE AWAY THE
CORDS, WHICH MEANS THAT YOU CAN
DO WIRELESS ENVIRONMENT IN A
FACTORY, RETAIL STORES, BIG
WAREHOUSES, ET CETERA.
SO THERE ARE MANY USE CASES ON
5G, VERY DIFFERENT IN DESIGN
THAN 3G AND 4G.
MARIA: THIS IS FOR FIXED
WIRELESS AS WELL AS TRADITIONAL
WIRED.
>> IT'S FOR EVERYTHING.
IT'S THE SAME NETWORK, IT'S JUST
DIFFERENT USE CASES.
ONE USE CASE IS 5G HOME, ANOTHER
IS 5G WIRELESS FOR CONSUMER,
ANOTHER COULD BE 5G FOR
ENTERPRISES.
SO IT'S VERY DIFFERENTLY
DESIGNED FROM THE BEGINNING AND
VERIZON HAS BEEN EXTREMELY EARLY
ON THIS ONE.
MARIA: HOW DO YOU PRICE THAT?
>> RIGHT NOW WE'RE OFFERING THIS
FOR $50 AND UP PER MONTH FOR 5G
HOME, MEANING YOU GET FULL
COVERAGE AT THE HOME.
WE DO THAT TOGETHER WITH
YouTUBE TV AND APPLE TV, SO
YOU GET THE FULL SOLUTION AND
SORT OF BROADBAND AT HOME.
MARIA: CHARACTERIZE THE
ENVIRONMENT FOR US.
WE KNOW AT&T AND TIME WARNER ARE
SET TO GO FORWARD AND CLOSE THAT
DEAL.
YOU'VE GOT FIRMS LIKE NETFLIX
AND HULU OUT THERE, PAYING UP
BIG FOR CONTENT.
WHAT'S VERIZON'S PLAN?
>> WHEN IT COMES TO CONTENT, OF
COURSE WE HAVE CONTENT.
WE HAVE THE WHOLE YAHOO AND THE
BUSINESS WHERE OUR SERVER HAS
ENTERTAINMENT AND ALL OF THAT.
WE ARE A BELIEVER IN CONTENT.
THAT'S WHAT'S FUELING THE
NETWORK.
THE DEBATE HAS BEEN DO WE GO
INTO LINEAR TV AND WE'RE NOT
INTERESTED IN LINEAR TV CONTENT.
THERE'S OTHER CONTENT THAT WILL
BE USEFUL FOR US.
MARIA: A LOT OF ANALYSTS TALK
ABOUT THE FACT YOU HAVEN'T DONE
A BIG DEAL.
IS THAT ON THE HORIZON.
WHAT ARE THE PLANS FOR YAHOO AND
OAT FOR EXAMPLE?
>> YAHOO AND OAT HAVE GREAT
ASSETS.
THEY FIT VERY WELL WITH US.
THEY HAVE A LOT OF GREAT
ENGINEERS AND TECHNOLOGY THAT WE
NEED ON THE NETWORK SIDE AT
VERIZON.
ALSO THE CONTENT AND THE AD
PLATFORM THAT THEY HAVE
DEVELOPED IS SERVING VERIZON.
HOWEVER, YAHOO IS SERVING A MUCH
BROADER MARKET AROUND THE GLOBE,
SO WE NEED TO WORK TOGETHER IN
ORDER TO BRING OUT THE BEST
MARIA:
ITRIA:
IT.IA:
IT.MA:
IT.MARIA: DO YOU NEED SCALE TOG
EFFICIENCIES FROM.
IT.MARIA: DO YOU NEED SCALE TOT
THE MOST OUT OF THOSE BUSINESSES
IN TERMS OF CONTENT?
>> NO, WE'RE HAPPY WITH THE
ASSETS WE HAVE.
WHAT WE'RE FOCUSED ON IS
EXECUTING THE STRATEGY TODAY
TOGETHER WITH THE FUNDAMENTALS
OF THE NETWORK, THE DISTRIBUTION
AND CONTENT.
THEN WE CAN PARTNER WITH ANYONE
ON LINEAR TV OR ANY OTHER TYPE
OF SOLUTIONS THAT WANT TO BE
PART OF OUR NETWORK AND OUR
DISTRIBUTION.
MARIA: WHERE WOULD YOU SAY THE
GROWTH COMES FROM AT VERIZON
WIRELESS GOING FORWARD?
>> I THINK FIRST OF ALL WE HAVE
OUR 4G BUSINESS, HAVE BEEN
PERFORMING WELL.
NOW WITH 5G WE HAVE A NEW
OPPORTUNITY, BOTH WITH BROADBAND
AT HOME WITH 5G WHICH IS A
TOTALLY NEW BUSINESS FOR US AS
WELL AS THE 5G WIRELESS WHICH IS
COMING A LITTLE BIT LATER AS
HAND SETS WILL BE AVAILABLE.
MARIA: WHAT'S THE PLAN IN TERMS
OF ROLLOUT?
YOU'VE GOT THE FOUR CITIES
TODAY.
WHAT COMES NEXT?
>> WE DO THE FIRST FOUR CITIES
RIGHT NOW.
IT'S SORT OF A LIMITED SCOPE.
AS SOON AS WE HAVE DEVICES ON
THE GLOBAL STANDARD ON 5G WHICH
IS GOING TO BE IN 2019, WE HAVE
THE NETWORK PREPARED AND WE'RE
GOING TO LAUNCH BOTH THE
WIRELESS SERVICE ON A SMARTPHONE
THE 5G THAT
THE 5G HHAT
THE 5G HOMT
BUT ALSO CONTINUING TO ROLL OUT
THE 5G HOME THAT WE'RE DOING
THAT.
MARIA: WHAT GOES INTO THE BRAND
>>
BLOT.
BUILDOUT.
>> IT WILL GO ACROSS THE COUNTRY
AND CONTINUE INTO THE SUBURBS,
ALL AROUND THE COUNTRY.
MARIA: WHAT ARE YOUR THOUGHTS
ON WHAT'S BEEN TAKING PLACE IN
YOUR INDUSTRY IN TERMS OF THE
MERGERS?
>> I THINK FOR US IT'S MORE
IMPORTANT TO FOCUS WHAT VERIZON
IS DOING AND OUR STRATEGY.
IT'S HAPPENING A LOT AROUND US.
THE BEST STRATEGY WE CAN HAVE IS