Qwest, CenturyLink complete merger

Qwest and CenturyLink completed their $22 billion merger on April 1, creating the third-largest traditional phone provider in the nation behind AT&T and Verizon.

The announcement was expected after the Federal Communications Commission (FCC) greenlighted the transaction in March. The combined firm will be known as CenturyLink and remain based in Monroe (LA), though it will maintain a regional headquarters in Denver, formerly Qwest's home base. The two regional telecom providers are looking to offset declines in revenue from landline phones by promoting their broadband offerings. Both firms have shed jobs in recent years and more cuts from the combined workforce of 47,000 are expected. The FCC's approval came with conditions attached that aimed to increase the performance and adoption of the new entity's broadband coverage, particularly among low-income households. The new firm will offer service to 17 million phone lines and five million broadband customers in 37 states. CenturyLink must offer qualifying households broadband access for less than $10 per month and a computer for less than $150 for a period of five years. It must also increase actual download speeds to at least four megabytes per second for most users and pledge not to raise prices in Minneapolis and Olympia (WA), where the two firms previously competed.