NYC sues Verizon over broken FiOS promise

New York City sued Verizon for breaking its 2008 promise to build FiOS service to every home in the city by 2014. More than two years after its buildout was supposed to be completed, nearly one million NYC households still do not have access to Verizon’s FiOS service.

In 2008, Verizon made a commitment in its franchise agreement to bring its fiber-optic FiOS service to all of NYC by 2014. But Verizon broke that legal commitment. A city audit of Verizon’s buildout found a quarter of NYC households were unable to get FiOS service as well as “a litany of corporate incompetence,” including more than 40,000 requests for service pending, “75 percent of which have remained outstanding for 12 months or longer.”

"Verizon has failed in many instances – believed to number at least in the tens of thousands – to timely complete installations as requested by potential subscribers, leaving such New Yorkers without the desired television service," the city’s new complaint reads. "Indeed, Verizon has failed even to accept many New Yorkers' requests for FiOS service, although the agreement requires it to do so."

"Verizon promised that every household in the city would have access to its fiber-optic FiOS service by 2014. It’s 2017 and we’re done waiting,” said NYC Mayor Bill de Blasio. “No corporation – no matter how large or powerful – can break a promise to New Yorkers and get away with it.”

The Communications Workers of America (CWA), the union that represents thousands of Verizon employees in the city, has been pressuring Verizon to buildout its Fios service. “Two and a half years after the deadline for Verizon to finish the citywide FiOS build, far too many New Yorkers simply cannot get FiOS at their homes,” CWA said in a statement. “We understand why the city feels compelled to go to court to enforce the terms of the franchise that was agreed upon in 2008.”

"We are concerned, however, about the impact of lengthy litigation on the FiOS build. Verizon must not dig in its heels and simply fight this out in court,” CWA added. “Even as litigation proceeds, we urge Verizon to accelerate its current buildout, and we urge both parties to continue negotiations to reach an agreement on how best to provide every New Yorker with FiOS.”

“Union technicians face challenges every day attempting to deliver FiOS to customers, and we stand ready with several proposals that address some of the company's concerns about complicated right-of-way issues, which would expedite buildout for every New Yorker,” CWA said.

Links:

New York City Sues Verizon Over Fiber-Optic Cable Coverage (Wall Street Journal, Mar. 13, 2017)

New York City Sues Verizon, Claiming Broken Promises of Fios Coverage (New York Times, Mar. 13, 2017)

Verizon breaks promise to deliver FiOS to NYC (Speed Matters, June 19, 2016)

Is NYC preparing to take legal action against Verizon? (Speed Matters, Sept. 14, 2016)

1 million NYC homes can’t get Verizon FiOS, so the city just sued Verizon (Ars Technica, Mar. 13, 2017)

NYC v. Verizon New York complaint (Ars Technica, Mar. 13, 2017)