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Q&A: Verizon Wireless’ Crystal Ball

December 13th, 2007 by Mark Spoonauer

Mike Lanman of Verizon WirelessWith its about face on open-access, its LG Voyager turning heads, and an announcement that it will soon be trialing LTE technology for its 4G network, the nation’s number two carrier is pretty busy leading up to CES. We asked Mike Lanman, Verizon Wireless Vice President and Chief Marketing Officer, to shed some light on these latest developments and make some predictions for 2008. As you might guess, he also takes a not-so-subtle jab at the iPhone (or at least its network).

LAPTOP: Openness seems to be a big theme right now, both in terms of Verizon’s recently announced ‘Any Apps, Any Device’ option and the Open Handset Alliance. How will these efforts benefit consumers in 2008 and beyond?

Mike Lanman: We are excited about our announcement to allow customers to connect to our network with any device that meets our minimum technical standards. This initiative gives customers who have unique devices and applications a way to meet those needs and still connect to America’s most reliable network. We anticipate that this option, which we will launch in the second half of ’08, will encourage innovation from the development community and benefit all customers – those who come to Verizon Wireless for traditional full-service offerings, as well as those who prefer to ’bring their own’.

L: What do you think the biggest trends will be at this year’s CES when it comes to cell phones ?

ML: In ’08, look for more touch screens, greater phone customization via content, and even more music options that allow customers to create a personal wireless experience with their devices. Verizon Wireless customers have come to expect high-quality service, and many now want the ability to add more on their phones that suit their specific tastes, interests, or lifestyles.

L: So what types of services are gaining the most traction right now? Navigation? Music? TV?

ML: Customers have been excited about VZ Navigator and the ability to get turn-by-turn directions on their mobile phones. We think the key to the success of this service is the simplicity and the options we offer, customers can use it when they need it with “pay as you go” or they can subscribe monthly. And, the latest version of this application that allows customers to send directions to another Verizon Wireless customer is also proving quite popular.

Music discovery is gaining traction daily. The ability to find and download music on your phone, or identify music when you hear it on the radio or at a nightclub with Song Identity, is a service that we see continuing to grow. It all boils down to creating the wireless experience that works for you.

L: Do you welcome the comparisons between the LG Voyager and iPhone and what can you say about the Voyager’s success thus far?

ML: This has certainly been an interesting year for devices, and whenever you have phones with similar features there are going to be comparisons. We are thrilled with the performance of the Voyager, and our customer feedback has been solid. At Verizon Wireless we have a great line-up of phones, and we are confident they will stand ahead of anything the competition can deliver. Verizon Wireless has always felt that a comparison of any of our phones needs to begin with network quality. That is the table stake that customers expect when they choose a wireless phone –it should make a call, sustain a call, and the call should be clear of background noise.

L: Can consumers expect to see EV-DO Rev. A handsets in early ’08 and can you give us a sense of what their capabilities might be?

ML: Rev A handsets are certainly on the horizon for ’08 but we will be selective in how we introduce these new models. The greatest benefit to customers is upload speeds with Rev A, and they can experience increased upload speeds of 500 kbps to 800 kbps right now with our broadband access products. Other capabilities will emerge on handsets later in 2008 that will initially target business and professional users.

L: I know it’s early, but can you give our readers a taste of what LTE technology might have to offer in terms of real-world speeds or applications and how that might compete with WiMax?

ML: LTE technology is designed to deliver mobile data networks with higher speed and throughput performance, low latency, global roaming, and improved efficiencies. Peak speed will be 10’s of Mbps. The specific peak speeds will depend on amount of spectrum dedicated to LTE and several other variables that will be evaluated during our trials.

From our vantage point, competition doesn’t change just because someone offers different technology, and WiMax falls into that category. In fact, the technology platform should be transparent to the customer. The most important factor, and our responsibility as a wireless carrier, is ensuring network quality and delivering the services that customers need. That is why more customers have selected our brand than any other. At the end of the day, customers will decide.

L: Is CDMA on its last legs?

ML: Our customers will use our CDMA network for many, many years to come. After we build out our 4G LTE network there are plenty of applications that still won’t need 4G and will continue to run on our 3G network, which today powers our V CAST multimedia and BroadbandAccess Internet applications.

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