Verizon, MCI complete merger

Verizon Communications and MCI have closed their merger, one of two major telecommunications mergers that began last year.

As part of the merger, the company created an organization called Verizon Business to encompass MCI's business and government activities. The other two business units in the newly combined company are Verizon Wireless and a landline segment providing traditional telephone services.

“This milestone for Verizon creates a new competitive force with the power of the global MCI network and the reach of Verizon’s broadband and wireless networks in the U.S.,” said Verizon Chairman and Chief Executive Officer Ivan Seidenberg, in a prepared statement. “Our added network capabilities and strong customer relationships provide a solid foundation for innovative and integrated wireless, wireline and multimedia services designed to meet customer demands for speed, mobility and control.”

Verizon Business serves medium and large businesses and government customers. The company plans to announce new products and services later this month. John Killian has been named president of the unit, and his team has been planning the integration since October 2005.

“We have the team in place to hit the ground running and offer Verizon Business customers greater value from day one,” said Killian, who was senior vice president and chief financial officer for Verizon Domestic Telecom.

The other signifcant merger, of SBC and AT&T, was completed in November 2005. The combined company retained the AT&T brand name.