The success of the operator adds to the dilemma facing Vodafone Group Plc [VOD], which owns 45% of the company with Verizon Communications [VZ] holding the remainder.
Vodafone doesn’t like being a minority partner in any operation, but as Verizon will not sell its stake it is stuck with no current way of promoting its own brand name in the US market.
Therefore, the key decision for Vodafone is: should it sell its minority interest in the wireless operation to Verizon and look to buy another US operator?
The problem is compounded by Verizon Wireless’ financial success. It increased operating income in the quarter by 15.9% to $1.1 billion and is a fine investment for Vodafone.
None of the other major US wireless operators can match Verizon’s progress. AT&T Wireless [AWE] managed revenue growth of 7.6% in the quarter, while Sprint PCS [PCS] increased just 5.8%.
This article was based on material originally published by ComputerWire.
