Verizon Plans Network for Big Businesses

Verizon (VZ Quote - Cramer on VZ - Stock Picks) plans to announce Wednesday that it's creating a multinational network for big businesses, according to The Wall Street Journal.

The plan would put Verizon up against companies like AT&T (T Quote - Cramer on T - Stock Picks), France Telecom (FTE Quote - Cramer on FTE - Stock Picks) and WorldCom (WCOM Quote - Cramer on WCOM - Stock Picks), the newspaper reported in its online edition.

However, Verizon's plans face a hurdle. It can't offer long-distance service in 13 states, mainly on the Eastern Seaboard, home of many multinational corporations. The so-called Baby Bells are restricted from offering long distance service in their states until they prove the local phone service market is open to competitors.