Verizon to Pay NYC $50 Million Settlement

Verizon will pay New York City $50 million in a court settlement stemming from delays on the new 911 calling system, the city announced Thursday. In addition to the lump sum, Verizon will provide an additional $10 million in cost savings.
Verizon to Pay NYC $50 Million Settlement
Kristen Meriwether
11/14/2013
Updated:
7/18/2015

NEW YORK—Verizon will pay New York City $50 million in a court settlement stemming from delays on the new 911 calling system, the city announced Thursday. In addition to the lump sum, Verizon will provide an additional $10 million in cost savings.

“With this settlement, Verizon is compensating the city for the considerable costs associated with the delay of a key component of the new 911 system,” said Mayor Michael Bloomberg in a statement. “Since that component was finally delivered in December 2011, the city’s state-of-the-art 911 system has successfully handled more than 21 million calls, and we look forward to continuing to work with Verizon as we complete the first comprehensive overhaul of the system in more than 40 years,” he added.

The city hired Verizon in 2006 to maintain the call transferring software for the new 911 system. After failing testing, the city refused payments and the case went to court.