Summary
1. As the source article points out, Verizon Communications is “among a handful of phone carriers currently allowed to exchange phone and Internet traffic with Cuba, albeit indirectly.” 2. Undoubtedly, Verizon’s negative experience in Venezuela is still fresh in the minds of the top-level executives. 3. However, there would be very little risk in just “enter[ing] into roaming-service agreements.”
Analysis
The question is if additional “red tape” is removed, what would be the interest level at Verizon in making further penetration? As it stands now, the existing Cuban government is not likely to allow direct competitors in the door. But what if the situation changes? It is not inconceivable to foresee FiOS being extended from Miami to Havana. It would be one additional leg to Verizon’s dream of controlling the entire I-95 corridor south of Boston as both an ILEC and a CLEC. Moreover, going into Cuba would be most about not letting AT&T get it.
In any event, Verizon will almost certainly want to extend its 4G network first. And then it can see if it makes sense to make any further investments.
