The Federal Communications Commission (FCC) has approved Verizon’s $20 billion deal to acquire fiber-optic internet provider Frontier Communications. The decision comes after Verizon agreed to end its diversity, equity and inclusion (DEI) programs, which had sparked concerns from lawmakers.
Verizon will now absorb Frontier’s debt of around $10 billion as part of the acquisition. The FCC said the deal would boost broadband access in 25 states, with Verizon expected to deploy fiber to 1 million or more American homes annually.
Commission Chair Brendan Carr stated that the approval ensures Americans will benefit from a series of “good and common-sense wins.” He cited billions of dollars in new infrastructure builds across the country as a result of the transaction.
However, not everyone is pleased with the decision. Democratic Senator Ed Markey criticized the FCC’s actions, stating they were “weaponizing” its merger authority to control speech. The move follows President Donald Trump’s executive orders aimed at dismantling DEI programs in the US and pressuring private companies to join the initiative.
The revised approach by Verizon has addressed concerns from lawmakers, with the company agreeing to remove its DEI website and references to the practice from employee training. However, some critics argue that this decision still imposes regulatory burdens on companies requiring FCC approval for their transactions.
Source: https://www.reuters.com/sustainability/society-equity/verizon-ending-dei-programs-it-seeks-us-approval-frontier-deal-2025-05-16