http://mcguireslaw.com/2006/05/09/vzw-recalculating-the-value-of-mobility/ The value of any product or service increases with its mobility. Thu, 09 Feb 2012 13:32:43 +0000 http://wordpress.org/?v=2.6.3 http://mcguireslaw.com/2006/05/09/vzw-recalculating-the-value-of-mobility/#comment-26 Kenny Wed, 10 May 2006 13:05:56 +0000 http://mcguireslaw.com/?p=71#comment-26 Two related, but different financial concepts probably got mixed up here. Market cap of $96B is for VZ's Equity Value, which is different from Enterprise Value. VZ has about $34B Debt, adding that to Equity Value gives us VZ's Enterprise Value of $130B. Of the $130B, $61B goes to Wireless, the majority of the remaining $69B should go to Wireline (assume 80%), with the rest goes to its Directory biz. This shows about $1.3 enterprise value per $ of wireline rev, and $3.4 enterprise value per $ of wireless rev. Again, the law of mobility works here, although at a little bit adjusted down scale :) Two related, but different financial concepts probably got mixed up here. Market cap of $96B is for VZ’s Equity Value, which is different from Enterprise Value. VZ has about $34B Debt, adding that to Equity Value gives us VZ’s Enterprise Value of $130B. Of the $130B, $61B goes to Wireless, the majority of the remaining $69B should go to Wireline (assume 80%), with the rest goes to its Directory biz. This shows about $1.3 enterprise value per $ of wireline rev, and $3.4 enterprise value per $ of wireless rev. Again, the law of mobility works here, although at a little bit adjusted down scale

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