Wireless Surge Brightens Verizon View

On balance, Verizon (VZ Quote) sounded surprisingly chirpy to its network-equipment suppliers Tuesday.

Sure, the giant New York telco dampened some spirits by trimming its second-half network-spending plan. But analysts were inclined to look on the bright side, pointing to the company's surprisingly robust forecast for wireless subscriber growth and the solid double-digit percentage rise in its capital budget even after Tuesday's belt-tightening. Verizon slipped 5%, dropping $1.65 to $33.06.

So if the outlook remains cloudy for the nation's largest telco, it's starting to clear a bit for the gearmakers who count themselves among its leading suppliers. Verizon said Tuesday that erosion in its local phone business will force it to trim about $500 million from 2003 core network improvement plans. ...