BT Group and Verizon plan to combine their international enterprise units. The 50/50 venture will target multinational customers worldwide. Together, the units represent about $4 billion in annual revenue.
The deal also includes a $625 million payment from Verizon. Both companies will hold equal voting rights. The venture should close in 2027, subject to regulatory approval.
The new business will serve around 3,000 customers across more than 180 countries. It will focus on managed connectivity services. These include SD-WAN, MPLS, Ethernet, cloud connectivity, voice, and security.
However, the companies are not merging physical networks. National and subsea cable assets will stay outside the venture. Instead, the business will operate at the service layer. It will use parent-owned and third-party network capacity.
This approach gives both firms a lighter operating model. It also avoids the cost and complexity of a full acquisition. For Verizon, the deal expands international reach quickly. For BT, it supports a sharper UK market focus.
BT’s Global Fabric platform sits near the center of the strategy. It aims to simplify global connectivity management. The platform also supports compliance and local sovereignty requirements. These issues matter more as enterprises adopt AI workloads.
Dan Schulman, chief executive at Verizon, highlighted that customer need. He stated: “When we thought about how to best support them, this joint venture was the clear answer: a cutting-edge, AI-ready and secure platform run by a single global organization.”
The venture will be incorporated in Jersey. It will be headquartered as a UK tax resident. Martijn Blanken will become chief executive-designate. He previously led international telecoms and infrastructure businesses, including Telstra and KPN.
Analysts broadly see the deal as practical. It gives BT a cleaner structure. It also helps Verizon strengthen global enterprise services without buying an entire business.
Paolo Pescatore, founder at PP Foresight, called it a “pragmatic and sensible move for both companies”. He said: “For Verizon, it strengthens its global enterprise reach without the complexity of a full acquisition.”
Still, global enterprise telecoms remains difficult. Large contracts often span many countries and rules. Pricing, support, billing, and governance can become hard to manage.
History also offers warnings. Earlier ventures, including Concert, Global One, and Unisource, promised similar global simplicity. Many struggled with duplicated sales teams and incompatible systems.
For telecom buyers, the outcome depends on execution. A single platform could reduce friction for multinational networks. Yet customers will expect better service, not just a new structure.
The timing looks significant. Operators now prioritize domestic fiber, 5G, cloud, security, and AI-led transformation. This venture reflects that wider shift. Global reach still matters, but capital discipline now matters just as much.
