Federal Communications Commission	DA 26-327



DA 26-327
Released:  April 2, 2026

DOMESTIC SECTION 214 APPLICATION GRANTED FOR THE TRANSFER OF CONTROL OF BAY SPRINGS TELEPHONE CO., INC., CROCKETT TELEPHONE CO., INC., NATIONAL TELEPHONE OF ALABAMA, INC., PEOPLES TELEPHONE COMPANY, ROANOKE LONG DISTANCE, INC., ROANOKE TELEPHONE CO., INC., TEC OF JACKSON, INC., AND WEST TENNESSEE TELEPHONE CO., INC. TO 
VERO BROADBAND, LLC

WC Docket No. 25-342

By this Public Notice, the Wireline Competition Bureau (Bureau) grants an application filed by Telephone Electronics Corporation (TEC), Bay Springs Telephone Co., Inc. (Bay Springs Telephone), Crockett Telephone Co., Inc. (Crockett Telephone), National Telephone of Alabama, Inc., (National Telephone), Peoples Telephone Company (Peoples Telephone), Roanoke Long Distance, Inc. (Roanoke Long Distance), Roanoke Telephone Co., Inc. (Roanoke Telephone), TEC of Jackson, Inc. (TEC of Jackson), and West Tennessee Telephone Co., Inc. (West Tennessee Telephone), (and collectively with Bay Springs Telephone, Crockett Telephone, National Telephone, Peoples Telephone, Roanoke Long Distance, Roanoke Telephone, and TEC of Jackson, Licensees), and Vero Broadband, LLC (Vero Broadband and, together with TEC and Licensees, Applicants), pursuant to section 214(a) of the Communications Act of 1934, as amended, and section 63.04 of the Commission’s rules, See 47 U.S.C. § 214(a); 47 CFR § 63.04.
 requesting Commission consent to transfer control of TEC and the Licensees to Vero Broadband. Domestic Section 214 Application for the Transfer of Control of Bay Springs Telephone Co., Inc., Crockett Telephone Co., Inc., National Telephone of Alabama, Inc., Peoples Telephone Company, Roanoke Long Distance, Inc., Roanoke Telephone Co., Inc., TEC of Jackson, Inc., and West Tennessee Telephone Co., Inc. from Telephone Electronics Corporation to Vero Broadband, LLC, WC Docket No. 25-342 (filed Dec. 8, 2025) (Application).  On December 11, 2025 and March 6, 2026, Applicants filed supplements to their domestic section 214 application.  See Letter from Danielle Burt, Counsel to Vero Broadband, LLC, to Marlene H. Dortch, Secretary, FCC, WC Docket No. 25-342 (filed Dec. 11, 2025); Letter from Danielle Burt, Counsel to Vero Broadband, LLC, to Marlene H. Dortch, Secretary, FCC, WC Docket No. 25-342 (filed Mar. 6, 2026) (Second Supplement).  Applicants also filed applications for the transfer of international authorizations.  Any action on the Application is without prejudice to Commission action on other related, pending applications.

On December 12, 2025, the Bureau released a public notice seeking comment on the Application. Domestic Section 214 Application Filed for the Transfer of Control of Bay Springs Telephone Co., Inc., Crockett Telephone Co., Inc., National Telephone of Alabama, Inc., Peoples Telephone Company, Roanoke Long Distance, Inc., Roanoke Telephone Co., Inc., TEC of Jackson, Inc., and West Tennessee Telephone Co., Inc. from Telephone Electronics Corporation to Vero Broadband, LLC, Public Notice, WC Docket No. 25-342 (WCB 2025)
  We did not receive comments or petitions in opposition to the Application.
TEC, a Mississippi corporation and holding company, does not provide any telecommunications services but has approximately 20 subsidiary operating companies that provide a range of local and long distance voice, high speed Internet, 800 service, WATS service, calling cards, and private line services to consumers and businesses in Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi, and Tennessee. Application at 2.  Applicants state that TEC’s operating subsidiaries own and manage a network comprised of digital switches, fiber optic cable routes, and copper cable routes.  Id. at 2-3.  Applicants state that one of TEC’s subsidiaries, LecNet, Inc. (LecNet), was formerly authorized to provide international telecommunications services but has surrendered that authorization.  Id. at 2, n.1.  LecNet does not provide domestic telecommunications services.  Id.  With the exception of Roanoke Long Distance and LecNet, all Licensees receive high-cost Universal Service support.  Id. at 19-20.  More specifically, the following Licensees receive Revised Alternative Connect America Model (Revised ACAM) support for the specified Study Areas (SAC):  (1) Bay Springs for SAC 280446 in MS; (2) Crockett Telephone for SAC 290561 in TN; (3) National Telephone for SAC 250286 in AL; (4) Peoples Telephone for SAC 290576 in TN; and (5) Roanoke Telephone for SAC 250317 in AL.  In addition, TEC receives Rural Digital Opportunity Fund (RDOF) support for SAC 289009 in MS.  Finally, West Tennessee Telephone receives both Revised ACAM and RDOF support for SAC 290583 in TN.  ACAM Authorization Report 5.3 (Dec. 2025), https://docs.fcc.gov/public/attachments/DOC-415773A1.xlsx; Second Quarter, 2026, High Cost Support Projected by Study Area by State, https://www.usac.org/about/reports-orders/fcc-filings/#results.  Applicants also provide a pre-transaction ownership chart of TEC.  See Application, Exh. A (Pre-Closing Organizational Chart) at Chart 1.

Bay Springs Telephone, a Mississippi corporation, provides service as an incumbent local exchange carrier (LEC) and has been designated as an Eligible Telecommunications Carrier (ETC) in Mississippi. Id. at 3.
  Crockett Telephone, a Tennessee corporation, provides incumbent LEC services and is designated as an ETC in Tennessee. Id.
  National Telephone, an Alabama corporation provides service as an incumbent LEC and is designated as an ETC in Alabama. Id. at 4.
  Peoples Telephone, a Tennessee, corporation, provides service as an incumbent LEC and is designated as an ETC in Tennessee. Id.
  Roanoke Long Distance, an Alabama corporation, is authorized to provide interstate telecommunications in Alabama but is not authorized and does not provide intrastate telecommunications services in any state. Id.
  Roanoke Telephone, an Alabama corporation, provides service as an incumbent LEC and is designated as an ETC in Alabama. Id. at 5.
  TEC of Jackson, a Mississippi corporation, provides competitive intrastate telecommunications services in Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi and Tennessee and is also designated as an ETC in Mississippi. Id.
  West Tennessee Telephone, a Tennessee corporation, provides service as an incumbent LEC and is designated as an ETC in Tennessee. Id.

Vero Broadband, a Colorado limited liability company, is authorized to provide intrastate competitive telecommunications services in Colorado, Iowa, Montana, New Mexico, and Oregon, and currently provides VoIP and broadband services. Id. at 6.
  Applicants state that Vero Broadband’s subsidiaries, Clear Networx, Inc. and FastTrack Communications, Inc., are authorized to provide intrastate competitive services in Colorado and currently provide VoIP and broadband services. Id.  Applicants state that Vero Broadband’s affiliate, Vero Fiber Networks, LLC (Vero Fiber), provides dark fiber and WAN services, and holds licenses to provide telecommunications services in the following states:  Arkansas, Arizona, California, Colorado, Florida, Georgia, Hawaii, Iowa, Illinois, Indiana, Kentucky, Kansas, Louisiana, Michigan, Minnesota, Missouri, Mississippi, Montana, Nevada, New Mexico, North Carolina, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, Washington, West Virginia, and Wisconsin.  Id.
  BendTel, Inc. (BendTel), a subsidiary of Vero Broadband’s direct parent, Vero Broadband Holdings, Inc., provides telecommunications services in Oregon. Id.
  Vero Broadband is indirectly wholly owned by VFN Holdings, Inc. (VFN Holdings), a Delaware corporation. Id. at 13.  Applicants provide post-transaction ownership charts and narratives of Vero Broadband.  See Second Supplement, Attach. 1, Updated Exh. B (Post-Closing Organizational Chart); id., Attach. 2 (Updated Ownership Narrative).  Applicants provide information on the proposed ownership in VFN Holdings following the consummation of the proposed transaction.  See Application at 13-16 and Exh. B.  Applicants note that approximately 54.681% equity and voting interests in VFN Holdings is collectively held by investors with none individually holding a 10% interest.  Second Supplement at 1.

Pursuant to the terms of the proposed transaction, TEC, Vero Broadband, and TEC Merger Sub, Inc. (TEC Merger Sub), a wholly owned subsidiary of Vero Broadband, entered into an agreement whereby TEC Merger Sub will merge with and into TEC, with TEC surviving. Id. at 7.
  Following completion of the proposed transaction, Vero Broadband will be the direct parent of TEC and indirect parent of Licensees. Id.

Applicants assert that a grant of the Application would serve the public interest, convenience, and necessity. Id. at 7-9.
  Applicants assert that the combined company would be a stronger, better-resourced competitor and extend Vero Broadband’s footprint into the rapidly growing broadband markets of the Southeast, building on TEC’s century-long legacy of providing reliable communications services to both residential and business customers. Id. at 8.  Applicants further state that, under Vero Broadband’s ownership, Licensees will gain access to expanded capital resources that will accelerate growth and network expansion across the Southeast.  Id.
  Applicants further state that Vero Broadband has the requisite financial, technical, legal, and managerial qualifications to acquire control of Licensees and that Vero Broadband and its affiliates have extensive experience constructing, operating, and managing communications networks, and Licensees will benefit from that expertise. Id.
  Applicants further state that the proposed transaction will be conducted in a manner that will be transparent to Licensees’ customers and will not result in any immediate change of carrier for customers or any assignment of authorizations. Id.
  Finally, Applicants state that there will not be an elimination of any telecommunications service provider since the proposed transaction will occur at the parent-company level. Id. at 9.  Applicants also assert that the proposed transaction will not result in undue concentration or the elimination of competitive choices, because there is no service area overlap between Vero Broadband and its affiliates and Licensees.  Id.  Based on the most recent service information reported by carriers in the National Broadband Map (NBM), this transaction does not involve Broadband Serviceable Location Fabric locations where one party to the transaction receives high-cost support and the other party to the transaction already makes fixed broadband service available at 100/20 Mbps or greater.  National Broadband Map (NBM) data as of June 30, 2025, https://broadbandmap.fcc.gov/data-download/nationwide-data.  

Grant of Application
We find that grant of the Application will serve the public interest, convenience, and necessity. See 47 U.S.C. § 214(a).
  Therefore, pursuant to section 214 of the Act, 47 U.S.C. § 214, and sections 0.91, 0.291, and 63.04 of the Commission’s rules, 47 CFR §§ 0.91, 0.291, and 63.04, the Bureau hereby grants the Application discussed in this Public Notice.
Pursuant to section 1.103 of the Commission’s rules, 47 CFR § 1.103, the grant is effective upon release of this Public Notice.  Petitions for reconsideration under section 1.106 or application for review under section 1.115 of the Commission's rules, 47 CFR §§ 1.106, 1.115, may be filed within 30 days of the date of this Public Notice.
For further information, please contact Gregory Kwan, Competition Policy Division, Wireline Competition Bureau, gregory.kwan@fcc.gov; Nissa Laughner, Telecommunications Access Policy Division, at nissa.laughner@fcc.gov.
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