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									Wireless Overview
           Dave Heverling
Network Vice President-Northeast Area



          February 26, 2002
NO NEED TO BE SCARED




      Proprietary and Confidential Information of Verizon Wireless
       “Safe Harbor” Statement
This presentation contains statements about expected future events and financial
results that are forward-looking and subject to risks and uncertainties. For those
statements, we claim the protection of the safe harbor for forward-looking statements
contained in the Private Securities Litigation Reform Act of 1995. The following
important factors could affect future results and could cause those results to differ
materially from those expressed in the forward-looking statements: materially
adverse changes in economic conditions in the markets served by us or by
companies in which we have substantial investments; material changes in available
technology; an adverse change in the ratings afforded our debt securities by nationally accredited
ratings organizations; the final outcome of federal, state, and local regulatory initiatives and
proceedings, including arbitration proceedings, and judicial review of those initiatives and
proceedings, pertaining to, among other matters, the terms of interconnection, access charges,
universal service, and unbundled network element and resale rates; the extent, timing, success, and
overall effects of competition from others in the local telephone and toll service markets; the timing
and profitability of our entry into the
in-region long distance market; our ability to combine former Bell Atlantic and GTE
operations, satisfy regulatory conditions and obtain revenue enhancements and cost
savings following the merger; the profitability of our entry into the broadband access market; the
ability of Verizon Wireless to combine operations and obtain revenue enhancements and cost savings;
our ability to convert our ownership interest in Genuity Inc. into a controlling interest consistent with
regulatory conditions, and Genuity’s ensuing profitability; and lastly, our accounting assumptions
are subject to review by regulatory agencies, including the SEC, and changes in the assumptions as
required by those agencies or any changes in the accounting rules or their application could result in
an impact on earnings.                Proprietary and Confidential Information of Verizon Wireless
   Wireless devices will be
the centerpiece of information
and services for customers…
     anytime, anywhere.

        Proprietary and Confidential Information of Verizon Wireless
       Wireless Environment

• Economy
• Growth
• Consolidation
• Pricing
• Technology



               Proprietary and Confidential Information of Verizon Wireless
                        • OUR
                          CORPORATE
                          CULTURE IS
                          INFORMAL



Proprietary and Confidential Information of Verizon Wireless
     Strategic Imperatives


 Subscriber Growth
 Revenue Growth
 OCF Growth
 Results-focused culture


           Proprietary and Confidential Information of Verizon Wireless
       Strong Fundamentals

Quality of ...
• Subscriber base
• Cost structure
• Customer value proposition
• Profitability
• Network


             Proprietary and Confidential Information of Verizon Wireless
       Strong Fundamentals

Quality of Base
• Digital subs
• Primarily contract
• Churn
• ARPU accretion



              Proprietary and Confidential Information of Verizon Wireless
     Strong Fundamentals

Quality of the Network
• Capex: $4B
• Highly efficient: cost & capacity
• 90% POPs digital
• Lead in provision of new products



           Proprietary and Confidential Information of Verizon Wireless
       Strong Fundamentals


Low Cost Structure
• Merger integration
  – Systems conversions
  – Procurement flexibility
• National Company
  – Branding
  – Standardization
• Distribution
• Customer Service
              Proprietary and Confidential Information of Verizon Wireless
     Strong Fundamentals
Value Proposition for the
  Customer
• Pricing
  – National, local
  – Simplified
• Products
  – Voice
  – Data
• Loyalty
                 Proprietary and Confidential Information of Verizon Wireless
Customer Satisfaction Drivers

                           Pricing Options                                      Corporate
                                 22%                                            Capability
                                                                                  21%

            Call Quality                                                      Customer Service
                30%                                                                 20%




                                        BillingHandset Cost of                                   Source: 2001 JD Power
                                                                                                 Wireless Industry Study
                                          2%     2%    Roaming
                                                         3%




 We understand the key drivers of customer purchase decisions
  and satisfaction, especially among the high-end segments.
                            Proprietary and Confidential Information of Verizon Wireless
           America’s Choice Plan

                                                                                      America’s Choice
                                                                                      Access Minutes
                                                                                       $35       300
                                                                                        $45     400
                                                                                        $55     550
                                                                                        $75     900
                                                                                       $100    1,200
                                                                                       $150    2,000
                                                                                       $200    3,000


•   Launched February 1, 2002.
•   Leverage VZW/Preferred network.
•   Increase profitability thru reduction in Off-Net subsidies.
•   Improve customer perception of VZW as “National Provider”.

                       Proprietary and Confidential Information of Verizon Wireless
      America’s Choice Plans
                  Key Features




• Coverage across the expansive national
  America’s Choice footprint
• Domestic LD included when calling from the
  America’s Choice footprint
• National Mobile to Mobile option
• National Night and Weekend option


              Proprietary and Confidential Information of Verizon Wireless
           America’s Choice Plans
                           Roam Indicator



  The Roam Indicator light will indicate important pricing information to the
     customer as follows:

Roam Indicator   Banner Display Status          Network Status               Billing/Feature Status
Status
OFF              Verizon Wireless               VZW Network                  Home Airtime rates;
                 Network                                                     Included LD; Features
                                                                             follow


ON- Flashing     Extended Network               VZW Extended                 Home Airtime rates;
                                                Network                      Included LD; Features
                                                                             may follow


ON-Solid         Roaming                             Roaming off                        $0.65 per minute;
                                                     VZW/extended                       includes LD; Features
                                                     network
                            Proprietary and Confidential Information of Verizon Wirelessdo not follow
Effect of Aggressive Promotions
                                                         Digital Usage Hourly Growth

                                      Growth from June 01 to Dec 01 on
                       7 0 0 ,0 0 0




                                       WEEKENDS for 4-5 pm is 10%
                                                                                                            Dec 2001 M-F
                       6 0 0 ,0 0 0
                                                                                                            Dec 2001 Saturday
                                                                                                            Jun 2001 M-F
                                                                                                            Jun 2001 Saturday
                       5 0 0 ,0 0 0
   Average Usage CCS




                       4 0 0 ,0 0 0




                       3 0 0 ,0 0 0                    Growth from June 01 to Dec 01
                                                       on SATURDAY for 4-5 pm is 45%
                       2 0 0 ,0 0 0




                       1 0 0 ,0 0 0




                                 0
                                 m
                               am




                                 m
                                 m

                                 m

                                 m


                        10 m



                               am

                                m

                                m

                                m


                        10 m
                              1a
                              3a

                              5a

                              7a

                              9a




                              1p
                              3p

                              5p

                              7p

                              9p
                             -1




                            -1
                           -1




                           -1
                           2-

                           4-

                           6-

                           8-




                           2-

                           4-

                           6-

                           8-
                          id




                         on
                        m




                                             Proprietary and Confidential Information of Verizon Wireless
                       no
Nationwide Spectrum




                                                                                                                                     10 MHz
                                                                                                                                     25 MHz
                                                                                                                                     30 MHz
                                                                                                                                     35 MHz
                                                                                                                                     45 MHz




Note: Spectrum Inventory is prior to 1.9 GHz Re-Auction and does not include Price Communications Wireless properties or managed, but not owned properties.
                                                    Proprietary and Confidential Information of Verizon Wireless
Additional Capacity Opportunities

• 3G Implementation
• Cell Splitting
• NextWave Situation




              Proprietary and Confidential Information of Verizon Wireless
• KOLANOS SCORES
  THE WINNING
  GOAL IN OT AS BC
  BEATS NORTH
  DAKOTA FOR THE
  2001 NCAA
  HOCKEY
  CHAMPIONSHIP



             Proprietary and Confidential Information of Verizon Wireless
Verizon’s Differentiator


                   Best Network as measured by ourselves, our
     Goal
                           customers, and third parties




                                                Network Reach




                                                                                Digital Network
             Service Margin



Drivers of




                                                                                                  S.O.E.
 Success




                                 Core Technology: CDMA / IS-41

                              Proprietary and Confidential Information of Verizon Wireless
Best Network - Infrastructure

>17,000 Cells
>145 MSCs

85% licensed POPs covered

AMPS, CDMA, CDPD, CDMA data

800 MHz, 1900 MHz

Lucent, Nortel, Motorola

2W SMS


                   Proprietary and Confidential Information of Verizon Wireless
Technology Evolution
  PRE 1997                                SINCE THEN                                                    2002



                                       IS – 95                                                 CDMA 2000 - 1X
ANALOG
                                  (DIGITAL/CDMA)                                                  (1XRTT)


 • Voice                    • Voice (6-10X analog capacity)                                • Voice (2X IS-95 capacity)
                            • 14.4Kbs Circuit Switched Data                                •40-60 Kbs Packet Data
                                                                                           • Backward Compatible to IS-95


     Why 1XRTT?
     • Provides   greater voice capacity

     • Enables higher speed data throughput

     • Wholesale infrastructure change-out not required

     • Positions us well for future technology decisions

                            Proprietary and Confidential Information of Verizon Wireless
Technology Evolution
  Options for the future



1.25 MHz CDMA       IS-95                      1XRTT                        1Xev




5.0 MHz CDMA
                                                                                           WCDMA


Other               TDMA
                                                                               EDGE
Technologies        GSM                     GPRS

                                        2002                       2003                   2004
                           Proprietary and Confidential Information of Verizon Wireless
Peak Data Rates by Technology


CDPD     19.2 kb/s

IS-95A   14.4kb/s

1XRTT                                 144 kb/s                        307 kb/s

1Xev                                                                         2.4 Mb/s

GPRS                           56 kb/s                       115 kb/s

EDGE                                                                         480 kb/s

WCDMA                                          384 kb/s                         2.0 Mb/s



         2000                               2001                                    2002
                     Proprietary and Confidential Information of Verizon Wireless
Lead in Provision of New Products and Services

   Develop Core IP Network


               Cells                   BSC                             MSC                                    PSTN
                       Packet                             TDM                               TDM



                                           IP

                                                                                     Call Management Servers
                                      PDSN
                                                                                            Application Servers


                                Core IP Network
  Fixed Wireless
  802.3
                                                VPN                                  Public Internet
  802.11
  xDSL
  Cable Modem                      Enterprise
                                      Network

                                 Proprietary and Confidential Information of Verizon Wireless
Lead in Provision of New Products and Services

  Deploy Application Specific Platforms / Enablers

                             Messaging                       SMS, IM, Voice Portal, Unified Msg, Corp MWI

                                                             Voice, vehicle diagnostics, travel
                             Telematics
                                                             directions, map updates

                            Int’l Roaming                    CDMA / GSM Inter-operation

                                                             Where am I, Advertising by location
                           Location Svcs
                                                             Find Me, Location specific 411

                                                             Basic OTA, PRL updates, phone diagnostics
                               IOTA
                                                             software fixes and upgrades, revenue downloads

                                WIN                          Pre-paid, CTX features, Group Calling

                                VPN                          Corporate connectivity

                            Compression                      4 x data rates
                            Proprietary and Confidential Information of Verizon Wireless
        2002 Products and Services

• Express network
   – 3G voice and data services
   – 144 kbps maximum burst rate
   – 40-60 kbps average throughput
   – Most major US markets covered by EOY 2002
• BREW
   – Binary Runtime Environment for Wireless
   – Supports downloadable applications to handsets
       • Games
       • Ringtones
       • Vertical market applications




                        Proprietary and Confidential Information of Verizon Wireless
           2002 Products and Services
• vText
   –   Uses the SMS service platform
   –   Web based system for SMS delivery
   –   Information content delivery
   –   Provides revenue sharing opportunities for content providers
   –   Calendar and notifications
   –   SMS broadcast
• Two way SMS
   –   User friendly easy to use
   –   Send and receive short messages to handsets
   –   Current 160 character message
   –   200 character length later this year
• Mobile Web
   – Service based on the Wireless Access Protocol (WAP)
   – Interactive
   – Supported in all handsets



                           Proprietary and Confidential Information of Verizon Wireless
• Mobile Web
  – Service based on the Wireless Access Protocol
    (WAP)
  – Interactive
  – Supported in all handsets




                Proprietary and Confidential Information of Verizon Wireless
Wireless Internet Via PDA




              Proprietary and Confidential Information of Verizon Wireless
Summary

 •Much is changing in the wireless industry
 •Customers continue to be more demanding
 •Network Quality is a Major Differentiator
 •Data will be an increasingly important piece of the
 Wireless Pie




                 Proprietary and Confidential Information of Verizon Wireless

								
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