Verizon spins off rural lines

ffejie writes: Verizon has announced that it will be spinning off rural assets to FairPoint Communications. The deal will close sometime in 2007 and is worth $2.7 Billion. 1.6 Million phone lines, 234,000 high speed (DSL) subscribers and 600,000 long distance customers will be moved to FairPoint in an effort for Verizon to shed it's low margin lines in rural areas. The sale has been rumored since at least the summer. With Verizon offering high speed FiOS (FTTP) to only it's local service areas, what will happen to the consumers stuck with a smaller telco like those moving to FairPoint? In the future, will there become an even deeper digital divide between the rural users and the high revenue areas?