Verizon Communications has secured federal approval for its $20 billion acquisition of Frontier Communications after agreeing to dismantle several of its diversity, equity, and inclusion (DEI) initiatives, according to reports. The Federal Communications Commission (FCC) approved shortly after Verizon committed to eliminating DEI-related policies, aligning with the current federal administration's broader efforts to curtail such programs in the corporate sector.

In a letter dated May 15 to FCC Chairman Brendan Carr, Verizon outlined its plans to remove DEI references from employee training, discontinue workforce diversity goals, and eliminate management compensation incentives tied to diversity metrics. The company also indicated it would centralize oversight of employee resource groups under its human resources department. 

FCC Chairman Carr, a recent federal appointee, has been vocal in his criticism of DEI programs, suggesting they may constitute "invidious discrimination." He has warned that such initiatives could jeopardize merger approvals. Following Verizon's commitments, Carr stated that the company's actions would ensure compliance with federal anti-discrimination laws and serve the public interest. 

The merger, initially negotiated during the Biden administration, is expected to enhance Verizon's fiber-optic infrastructure across 25 states. It aims to provide high-speed internet access to over one million homes annually. The deal is anticipated to close in early 2026, pending additional state-level regulatory approvals, including in California. 

Verizon's decision reflects a broader trend among corporations adjusting DEI policies in response to regulatory pressures. Earlier this year, T-Mobile similarly scaled back its diversity initiatives amid its own merger considerations.

Critics argue that the FCC's approach under Carr may set a concerning precedent. It potentially leverages regulatory approvals to influence corporate policies beyond traditional oversight, raising questions about the balance between regulatory authority and corporate autonomy.