Verizon (NYSE: VZ) Wireless has announced that its handsets network will, for the first time, be opened up for third party applications and devices: In early 2008, the company will publish the technical standards the development community will need to design products to interface with the Verizon Wireless network. Any device that meets the minimum technical standard will be activated on the network. Devices will be tested and approved in a $20 million state-of-the-art testing lab which received an additional investment this year to gear up for the anticipated new demand. Any application the customer chooses will be allowed on these devices. Release | Webcast (10:00 ET)

Conference Call:

-- Why: Lowell McAdam, CEO, Verizon Wireless “Soon Verizon Wireless will not be able to keep up with every customer’s needs with our specific portfolio.” “As we see 4G evolving, we see lots of different device providers… we’re ready to accelerate that piece.” “For the past year or so, much has been written and said about so-called open networks”. Beginning early next year, company will publish technical specifications to allow customers to connect any device. The new offering will not disrupt the company’s core model. In addition to the retail model, third party device developers will be able to get their devices approved for use on the Verizon Wireless network, provided they meet minimum technical specifications. Customers will be able to connect their device online or via a 1-800 number. “Important to facilitate this, but not dictate.”

-- Beyond handsets: John Stratton, CMO, Verizon: It’s up to the imagination of the marketplace. Possibilities include game handhelds, imaging devices Company is currently in talks with partners, which will continue up until a planned conference in the first quarter.

-- Verizon seal of approval: Customers will want assurance that applications will work. McAdam: “As far as control, other than minimum connectivity requirements… (everything else) is up to who provides the device or the service.” “Going to stick to network-level testing.” Beyond that, the company will offer no claims as to the functionality/quality of what’s on third party devices.

-- Google: Stratton: “We’ve spent a lot of time talking to Google (NSDQ: GOOG) looking at (their) technology.” No reason to preclude various operating systems (Android, Microsoft) from the Verizon Network.

-- iPhone: iPhone is still a GSM device, so it won’t work on the Verizon network… but if there were a CDMA version of it, then there’s no reason it couldn’t run on Verizon, provided it met the company’s minimum technical standards.

-- Java: Stratton: “The (Verizon) test will be for network connectivity” The device provider will determine things like Java compatibility or other OS requirements.

-- Politics: Company claims that political considerations associated with open networks, Google and the 700 mhz auction did not enter into the decision. “Really about meeting customers’ needs.”

-- Who can build third party devices: Dick Lynch, CTO, Verizon “If somebody has the technical capability of building their device in a basement… if it passes, we’ll activate it on our network” McAdam: “This isn’t just phones” Games, appliances, anything. Typically, Verizon can’t support a device unless it’s confident it will sell at a certain volume, but with this program, it doesn’t matter if the device maker sells 5 devices or 500,000 devices. Developer will pay the lab fees to test a device… very “reasonable” fees for professional services rendered”

-- Pricing and service plans: Pricing will be “competitive.” More details to come going forward. Things like bandwidth caps will depend on the device… more discussions with the developer community will be needed. A device that just uses the network once a month (like a utility meter reader) will pay a different amount than a device that’s frequently downloading videos.