Verizon Communications has agreed to pay $1.8 billion for XO Communications’ fiber-optic network business. In addition, Verizon will lease available wireless spectrum from XO, and has an option to buy the entity that holds XO’s spectrum by the end of 2018. Verizon’s purchase of XO’s fiber-optic network business is not expected to close until the second half of next year.
The fiber purchase is expected to cut both operating expenses and capital expenditures, Verizon said today.
