Verizon buying 37 million miles of fiber to boost its wireless network

Verizon has struck a deal with Corning to purchase up to 37.2 million miles of optical fiber and related hardware over the next three years, with Verizon planning to use that fiber to boost capacity and lower latency in its wireless network.

"The agreement calls for Corning to provide and Verizon to purchase up to 20 million kilometers (12.4 million miles) of optical fiber each year from 2018 through 2020, with a minimum purchase commitment of $1.05 billion," Verizon said in its announcement of the purchase agreement today.

The fiber will be used for network improvements "designed to improve Verizon’s 4G LTE coverage, speed the deployment of 5G, and deliver high-speed broadband to homes and businesses of all sizes." 

But while Verizon mentioned both mobile and home Internet service, this doesn't mean there will be any unexpected expansions of FiOS, Verizon's fiber-to-the-home service.

Verizon is piloting what it calls 5G wireless home Internet with customers in 11 markets in the first half of 2017. Those markets are Ann Arbor, Atlanta, Bernardsville (NJ), Brockton (MA), Dallas, Denver, Houston, Miami, Sacramento, Seattle and Washington, DC.

Verizon says it can deliver gigabit broadband speeds over wireless by bringing fiber closer to homes without the expense of bringing fiber all the way into each building. The 5G wireless trial will also bring a Verizon home Internet service to some places outside the company's landline telephone network territory in the Northeast US.

Verizon's announcement said there's a shortfall in fiber supply in the industry but that the deal with Corning will ensure that it can meet construction schedules.

It’s cheaper not to bring fiber to each home