Verizon Scraps DEI Policies to Secure US$20bn Frontier Deal

Verizon has become the latest major corporation to abandon its diversity, equity and inclusion policies in a bid to secure regulatory approval for a significant business transaction.

The telco giant took the decision to dismantle several key elements of its DEI programmes just one day before the Federal Communications Commission approved its US$20bn acquisition of broadband provider Frontier Communications on Friday 16 May, 2025.

The timing of Verizon’s decision suggests a direct correlation between the firm’s policy changes and regulatory approval of its landmark deal.

It also marks another milestone in corporate America's broader retreat from the diversity commitments that have been so common in recent years.

Verizon’s changes to DEI explained

In a letter to FCC Chairman Brendan Carr on Thursday, Verizon’s Chief Legal Officer Vandana Venkatesh outlined extensive changes to the company's diversity-related practices.

The company is now in the process of removing all references to DEI from its training materials and external websites.

Elsewhere, performance bonuses and corporate goals previously tied to increasing the percentage of women and minority workers in the company are being eliminated entirely.

Verizon is also dissolving its dedicated human resources department that focused on diversity-related policies, with staff being reassigned to general ‘HR talent objectives’.

"We are committed to creating a culture that leverages and values each person's unique strengths and talents," Vandana wrote in her letter.

"However, we recognise that the regulatory and policy landscape surrounding diversity, equity, and inclusion ('DEI') has changed.”

The FCC’s role in Verizon’s DEI decision

The FCC is the US’s federal agency which regulates the nation’s communications sector, encompassing television, radio, internet and telecommunications.

The agency has explicitly welcomed Verizon's diversity policy overhaul in its announcement approving the Frontier deal.

The regulator specifically cited Verizon's commitment "to ending DEI-related practices" as part of its rationale for the approval of the acquisition.

Beyond the policy changes, the FCC said the deal would enable Verizon to upgrade internet technology across 25 states, including rural communities and deploy fibre-optic access to at least one million homes annually.

Since US President Donald Trump took office for a second time in January 2025, the FCC’s Brendan Carr has taken a particularly aggressive stance against corporate diversity programmes, following the White House’s lead on inclusive initiatives in the federal government.

In recent months, the FCC has opened investigations into Comcast (which owns NBCUniversal) and the Walt Disney Company over what Brendan termed concerns about "promoting invidious forms of DEI discrimination".

Industry-wide patterns

Verizon's decision follows a similar move by rival T-Mobile, which ended some of its DEI-related goals and programmes in late March.

The FCC approved T-Mobile's acquisition of fibre operator Lumos just one day after that company announced its policy changes.

This pattern reflects broader corporate behaviour since President Trump's inauguration in January, when he signed executive orders targeting what he calls "illegal DEI" programmes in federal government.

Whilst some companies face direct regulatory pressure as federal contractors or businesses seeking government approval, many others are voluntarily abandoning diversity initiatives.

Corporate America retreats from DEI

The corporate abandonment of DEI extends far beyond regulated industries.

As reported previously, numerous major US companies have quietly removed the word "diversity" from their public documents and investor reports, marking a stark reversal from the commitments made during 2020's racial justice protests.

Companies including General Motors, PepsiCo and Disney have scrubbed diversity references from their latest investor reports, despite previously highlighting such programmes prominently.

Some companies have taken notable stands against the turning tide, including Apple, Costco and Levi’s, but the overall sentiment towards DEI is undoubtedly different than it was half a decade ago.

Despite Verizon’s decision to cut its DEI policies, the company has released a statement ensuring stakeholders and customers that it still values many of the principles associated with it.

“Verizon reaffirms its commitment to equal employment opportunity and non-discrimination,” the company says.

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