Maximize your WAN investment, and reduce the use of expensive upstream bandwidth.
Verizon needs to offer a WAN-level content server that has an exhaustive library of video and audio material. It can do this by itself, or it can offer collocation deals on its WANs to Hulu, Netflix, and others, provided they offer ideal product to its customers (free or close to it).
WAN bandwidth is relatively infinite. Upstream bandwidth is expensive and limited (even though Verizon is Tier 1). Save money and make customers smile by maximizing use of the WAN.
This will also strengthen communities, especially if you offer a audio/video content server that reputable organizations and individuals can upload free content onto, sort of like a modernized public access cable concept. I could see schools, churches, and similar organizations making use of it.
Verizon needs to forget about TV (it's primitive and dead), cell phones (why lower yourself to selling phones?), and other silly issues, and focus on its core business: networking. As your Verizon Wireless slogan goes: "It's the network." TV is dead. Long live the data network!