www.WirelessFederation.com/news: According to US analyst, the solution to the problem between Vodafone and Verizon wireless over the latter’s lack of dividend payment from the US operator could be merger.  According to Execution analyst Will Draper the likelihood of the two companies merging together is 30% to 40% as compared to 10%, a couple of years ago.

However, other industry watchers are discouraging Vodafone for any kind of merger as Verizon Wireless will approach the UK-based company for help. Some also feel that Verizon Wireless might make a divided payment next year providing a transformational cash return of nearly US$4 billion to Vodafone.

Vodafone will have to pay a huge tax bill if it sells 45 per cent stake in Verizon valued at US$65 billion. In that case it would have to rely on the only likely bidder, Verizon Communications.