CANNES, France-Both Vodafone Group plc and Verizon Wireless renewed their commitment to their four-year-old partnership, according to various news reports, but a shadow still hangs over the sometimes-antagonistic alliance.
Vodafone’s chief executive Arun Sarin said in recent reports that he remains committed to the company’s joint venture with Verizon Communications despite his recent bid for AT&T Wireless Services Inc.-a bid that, if successful, would have forced Vodafone to sell its stake in Verizon Wireless. Sarin said he would look to renegotiate Vodafone’s agreement with Verizon Communications when it expires in March 2005.
In separate news reports, Verizon’s chief Denny Strigl said relations with Vodafone remain normal. Indeed, Strigl said in a Reuters report that Verizon’s planned world phone, which will work on both CDMA and GSM networks, is still scheduled for launch in April. RCR Wireless News has previously reported on the phone, which will likely be built by Samsung Electronics Co. Ltd.
However, questions have long surrounded Vodafone’s relationship with Verizon Communications-especially following Vodafone’s bid for AT&T Wireless. Vodafone has looked to expand its brand worldwide through various acquisitions, but Verizon Wireless has refused to play along. Vodafone owns 45 percent of Verizon Wireless and earned $1 billion last year as its share.
