Verizon and BT form 50/50 joint venture; Verizon to pay $625M, expects Q2 charges

Key Facts

1Verizon announced a 50/50 joint venture with BT, contributing its international wireline connectivity and managed network services business.

2Verizon will pay $625 million to the new entity and expects Q2 losses of $700M–$800M, plus additional severance and asset rationalization charges.

As part of its international restructuring strategy, Verizon announced a 50/50 joint venture with BT Group. According to reports, Verizon will contribute its international wireline connectivity and managed network services to the new entity and pay $625 million in cash. The company expects second-quarter losses of $700 million to $800 million, plus severance and asset rationalization charges.

The move comes amid a wave of restructuring and consolidation in the global telecom sector, as operators seek to streamline international services. For BT, the joint venture expands its managed wireline business, while Verizon tests the waters for refocusing its non-U.S. operations. Regulatory approvals and a timeline for closing have not yet been disclosed.

Verizon shares (VZ) closed at $46.54 on June 26, 2026, trading in a range of $46.00 to $46.59 that day. Going forward, investors will watch for regulatory clearance milestones and Verizon's second-quarter earnings to gauge the scale of the announced charges. Broader U.S. interest rate trends may also influence telecom-sector valuations.