MrSpock29
join:2008-02-09
Hammonton, NJ
1 edit | 679 million dollar contract I'm trying to figure out why this is now mentioned in every Verizon news piece on here.
Also, a cumulative 121 million dollars in penalties for not hitting milestones seems very steep to me. I think most businesses would look for areas that didn't have the potential to be so costly. | |
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morbo
Complete Your Transaction
join:2002-01-22
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clubs: | Re: 679 million dollar contract why do you think it isn't relevant? | |
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Karl Bode
News Guy
join:2000-03-02 | Re: 679 million dollar contract Actually it's only been mentioned twice for scale, and I can use another metric if you'd like.
The amount made on just fees in the last month by the company nationally? | |
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| | MrSpock29
join:2008-02-09
Hammonton, NJ
| Re: 679 million dollar contract said by Karl Bode  :Actually it's only been mentioned twice for scale, and I can use another metric if you'd like. The amount made on just fees in the last month by the company nationally? Karl,
This is a slippery slope. Every company that tries to do business should have prior deals held against them?
What does it have to do with NYC? | |
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Karl Bode
News Guy
join:2000-03-02 | Re: 679 million dollar contract The scale of the penalties are even not remotely in line with the company's overall revenues. Verizon spends $4 million per quarter on lobbying alone. Those penalties are a gift. | |
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| | | | MrSpock29
join:2008-02-09
Hammonton, NJ
| Re: 679 million dollar contract said by Karl Bode :The scale of the penalties are even not remotely in line with the company's overall revenues. Verizon spends $4 million per quarter on lobbying alone. Those penalties are a gift. In your opinion. But I guess we are at a time where we look to heavily penalize companies for trying to do business. A 121 million dollar penalty is a 121 million dollar penalty. If they lost that big deal, should the penalties go down? | |
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Karl Bode
News Guy
join:2000-03-02 | Re: 679 million dollar contract quote:
I guess we are at a time where we look to heavily penalize companies for trying to do business.
Yes. Just to be mean. Good insight. | |
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| | | | | | MrSpock29
join:2008-02-09
Hammonton, NJ
1 edit | Re: 679 million dollar contract said by Karl Bode : quote:
I guess we are at a time where we look to heavily penalize companies for trying to do business.
Yes. Just to be mean. Good insight. It was sarcasm.
Feel free to delete what you wish. | |
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Pathfinder
Dazed Confused
Premium
join:2000-03-26
Mount Vernon, NY
 ·Verizon Online DSL
| said by Karl Bode :The scale of the penalties are even not remotely in line with the company's overall revenues. Verizon spends $4 million per quarter on lobbying alone. Those penalties are a gift. And they shouldn't be. The company does business in many states and that state should be the gauge not the nation. | |
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dvd536
as Mr. Pink as they come
Premium
join:2001-04-27
Phoenix, AZ
| said by Karl Bode :Those penalties are a gift. which are a pittance after all the lucrative areas are cherry picked. and the 30 million? written off as a biz loss.
typical big biz practices. * y a w n *
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When I gez aju zavateh na nalechoo more new yonooz tonigh molinigh - Ken Lee | |
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dvd536
as Mr. Pink as they come
Premium
join:2001-04-27
Phoenix, AZ
| said by Karl Bode :Actually it's only been mentioned twice for scale, and I can use another metric if you'd like. The amount made on just fees in the last month by the company nationally? its mind boggling. specially the "my service sucks so i gotta pay $200 penalty to get off it" fee.
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When I gez aju zavateh na nalechoo more new yonooz tonigh molinigh - Ken Lee | |
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| MrSpock29
join:2008-02-09
Hammonton, NJ
| said by morbo :why do you think it isn't relevant? What does it have to do with NYC? Nothing. Businesses go out and "do business". Because a company gets one contract totally unrelated, does that mean it should be held against them?
This is supposed to be a capitalistic society. | |
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morbo
Complete Your Transaction
join:2002-01-22
00000
clubs: | Re: 679 million dollar contract it has to do with VERIZON, which is the company set to wire NYC. it's also a huge government contract, so it's good to know just for general information. | |
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| | | MrSpock29
join:2008-02-09
Hammonton, NJ
1 edit | Re: 679 million dollar contract said by morbo :it has to do with VERIZON, which is the company set to wire NYC. it's also a huge government contract, so it's good to know just for general information. A Federal contract has nothing to do with a contract for NYC at all, IMHO, it is irrelevant to the point.
It is similar to saying that "Comcast is deploying DOCSIS 3.0 in their markets, the same company who had an issue with a traffic accident......". One has nothing at all to do with the other. | |
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| | | | | SD6
join:2005-03-26
| Re: 679 million dollar contract said by morbo :said by MrSpock29 :One has nothing at all to do with the other. I disagree. News is news, and this website's purpose is to provide the news and tie together relevant themes that exist. I sometimes wonder whether the intention is to tie news themes together or to create themes. Using the size of an unrelated government contract to support criticism of the size of the penalties in the NYC FIOS agreement is not appropriate. This website is valuable to me as an aggregator of broadband related news. I can deal with the various editorial slants.
The appropriate factors to judge the size of the penalties:
1) their proportion to the value of the franchise (to VZ)
2) the extent of competition to execute a similar franchise
3) the penalties in similar franchise agreements
I can only comment on 2) and 3) now. Not much competition because there are very few companies that could even hope to wire all of NYC for TV in six years (or even 10 years). Very few franchise agreements explicitly include large monetary penalties for failure to complete the buildout. | |
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join:2008-02-13
Hingham, MA | Probably the former MCI side of the business though, not the former NYNEX/Bell Atlantic division that's responsible for FiOS... Still the same parent company I guess though. | |
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| | | MrSpock29
join:2008-02-09
Hammonton, NJ
1 edit | Re: 679 million dollar contract said by Shamayim :said by MrSpock29 :This is supposed to be a capitalistic society. Capitalism is the best economic system in the world. It is not a license to rip off the consumer. Agreed. Not sure where I ever said it was a license to rip off people though. | |
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Shamayim
I already have a Messiah.
Premium
join:2002-09-23 | Re: 679 million dollar contract I apologize. Apparently I misunderstood your comment. | |
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| | | | | MrSpock29
join:2008-02-09
Hammonton, NJ
| Re: 679 million dollar contract said by Shamayim :I apologize. Apparently I misunderstood your comment. No worries  | |
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Joe Taxpayer
@rr.com
 from:
TKJunkMail
| said by MrSpock29 :I'm trying to figure out why this is now mentioned in every Verizon news piece on here. Evidently, you haven't been following the "Hate Bush" campaign for the past 7.5 years.
What I'm trying to figure out, is why none of these same critics ever questions the Al Gore Tax / E-Rate Program, which steals billions from us annually. | |
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